The police officer at the centre of the "Plebgate" row has agreed to an £80,000 damages payout, a High Court has heard.
The money has been accepted by PC Toby Rowland as settlement of his libel action against the former Government whip Andrew Mitchell.
The police officer launched the case after Mr Mitchell accused him of lying in his account of a row between the two of them at the gates of Downing Street in September 2012.
PC Rowland, a member of the Diplomatic Protection Group, said Mr Mitchell had referred to officers as "f****** plebs" but the Tory MP said the police officer was "not telling the truth".
However, a judge at the High Court in November found that in all probability the former chief whip had used the "politically toxic" phrase during the argument over whether Mr Mitchell should be allowed to ride his bike through the gates of Downing Street.
Mr Mitchell lost his libel claim against News Group Newspapers for a story about the incident in The Sun.
He was ordered to pay £300,000 in damages and it was estimated that fighting his case had cost him around £3m.
Speaking in the High Court today, PC Rowland's lawyer, Jeremy Clarke-Williams, said that since the judgment in November, Mr Mitchell "has abandoned the other defences he had raised to my client's claim and consequently terms of settlement have been agreed".
He added: "Pc Rowland never felt that the events in Downing Street were anything more than a minor incident.
"He was not responsible for the publicity which followed and would have much preferred that the whole matter had never entered the public domain.
"He now simply wishes to be left in peace to continue his police career."
Neither Mr Mitchell, who was forced to resign over the issue, nor PC Rowland was in court for the hearing.
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