The 34-year-old was sacked by the refereeing body Professional Game Match Officials Limited (PGMOL) in 2018 after sending a video mocking a disabled person to a friend.
Following discussions with PGMOL, Madley had accepted an offer to become a national list referee, which would qualify him to officiate matches at League One and League Two level.
"Eighteen months ago I lost my dream job as a professional football referee due to my own regrettable, naive and stupid actions," Madley said in a blog post https://therefereesword.blogspot.com/2020/02/a-new-chapter.html.
"I am delighted however that I have been given the opportunity to return to referee in the professional game in England.
"PGMOL dealt with what they considered a discriminatory act in the strongest way ... I can only thank them for having the ability to forgive, recognise that one naive moment does not define a person and offer me a second chance to do what I love to do."
Madley confirmed he has agreed to attend a Football Association discrimination workshop.
He will also officiate matches at grassroots level for the rest of the current season, which he said would help him reintegrate into the English game. (Reporting by Hardik Vyas in Bengaluru; Editing by Peter Rutherford )