Journalists at global news agency Thomson Reuters have called off a planned 48-hour strike, after reaching a new pay deal with management.

The walkout, which was due to start at midnight, would have been the first strike at the group in more than 25 years, according to the National Union of Journalists.

NUJ members in London have accepted a 2.5 per cent minimum pay rise and an additional 0.5 per cent based on merit, after several days of negotiations. Management had initially offered a 1.75 per cent increase.

NUJ chapel officer Helen Long said in a statement: "It seemed inconsistent to us that, while claiming to be the best-funded news organisation in the world, and the one with the best business model, Thomson Reuters was only prepared to offer one of the lowest pay rises in the industry."

The union's general secretary, Michelle Stanistreet, added: "The improved offer shows just how valuable it is to have the backing of the NUJ. This deal sets the tone for future negotiations between the chapel and management and I hope the pay deal sends a strong message to other companies in the media industry."

Thomson Reuters was created through a £9bn merger of Canadian news provider Thomson and London-based Reuters in 2007. The group is due to release its end-of-year results this afternoon.

Meanwhile, eleven MPs have signed an early day motion in parliament calling for better pay at Thomson Reuters - for the cleaners at the group's London headquarters.

The motion, tabled by Hayes and Harlington Labour MP John McDonnell claims that "Reuters, which has gained a reputation for objective journalism [has] cleaners contracted on its premises who are on wages beneath the London poverty line".