The High Court approved a settlement between Margaret Haywood and the Nursing and Midwifery Council (NMC).
The striking-off order imposed in April this year will be replaced with a one-year caution, which means she can now work as a nurse.
Ms Haywood filmed at the Royal Sussex Hospital for a BBC Panorama programme.
Footage from Ms Haywood's filming was broadcast in July 2005 and showed examples of neglect, including an elderly patient sitting in clothes he had soiled the night before.
The Nursing and Midwifery Council found her guilty of misconduct during a fitness to practise hearing and she appealed in May.
Ms Haywood, from Liverpool, said she was delighted with the verdict.
"Losing my registration after 25 years as a nurse was devastating," she said.
"I have been overwhelmed and humbled by the patient and public interest in my case and would like to thank everyone who has supported me, including the Royal College of Nursing (RCN) for running my appeal.
Full article BBC News
But Dr Gerry McCann, who is suspected of neglect and concealment of his own child's body, has the approval of the NHS to film - as long as it's for personal reasons.
At Leicester Hospital, anyway.
Funny old world.
Well done Margaret!