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Diane Abbott has been readmitted as a Labour MP, the BBC understands, but it is unclear whether she will stand for the party at the general election.
The former shadow home secretary was suspended in April 2023 after saying Jewish, Irish and Traveller people do not face racism "all their lives".
Her suspension meant she would not be able to stand for Labour on 4 July.
Party officials had tried to broker a deal by which she would get the whip back in return for standing down.
It is not clear if the Hackney North and Stoke Newington MP, who was first elected in 1987, has accepted that arrangement.
Ms Abbott apologised and withdrew her remarks shortly after they were published, in a letter to the Observer newspaper.
BBC Newsnight revealed earlier that the party's investigation, launched over 13 months ago, was completed in December 2023.
She was given a formal warning over her conduct and required to complete an "antisemitism awareness course".
Labour has not confirmed who its candidate will be in the Hackney North and Stoke Newington seat. Ms Abbott has been contacted for a comment.