Government inspectors on Wednesday cleared a private Saudi-funded Islamic school of any wrongdoing regarding a complaint about textbooks that allegedly criticized other faiths.
A former teacher at the King Fahad Academy in London had claimed students were taught from books that described Jews as "repugnant" and Christians as "pigs."
The school removed the books from circulation, but the government ordered Britain's education watchdog, the Office for Standards in Education, to investigate, and inspectors visited the school without warning last week.
The watchdog's report to the government said: "The quality of education is satisfactory, as at the time of the previous inspection. The school meets all the regulations concerning pupils' spiritual, moral, social and cultural education."