A strike which threatened to cause holiday flight chaos for thousands of holidaymakers has been dramatically called off.

About 2,000 easyjet cabin crew in Britain's biggest union Unite voted to accept a pay deal, ending the threat of industrial action during the peak summer weeks.

The deal includes a two-year pay award of 4.1% for cabin crew and 5.1% for cabin managers backdated to January 2015, and an increase in the holiday pay allowance for all cabin crew.

The budget airline said in a statement:"EasyJet values the contribution its cabin crew make and is pleased to have reached a positive conclusion so that its crew can continue to provide the excellent, friendly service our passengers expect and they can have complete reassurance that their travel plans will not be disrupted this summer."

Unite said its members voted by 52% to 48% to accept an improved offer.

Regional officer Kevin Hall said: "While we are pleased that the dispute is settled and there will be no disruption for those jetting away on their summer holidays, this dispute is a wake-up call to the management.

"The company needs to start smelling the coffee about the pay and conditions of its staff that emerged during this dispute when it comes to future pay claims.

"This highly profitable company got away with a settlement by the skin of its teeth."