Two Britons convicted of engaging in sexual acts on a Dubai beach had their jail term suspended by an appeal court this morning, meaning they will be freed and deported.

In October, Vince Acors and Michelle Palmer were sentenced to three months in jail followed by deportation after being convicted on two charges of engaging in sexual activity outside of wedlock, and for doing so in public.

They had pleaded not guilty to the charges.

In its ruling on Tuesday, the court also upheld a 1,000 dirham ($272.3) fine imposed on both for an alcohol-related offence they admitted.

"I'm very happy, I couldn't believe it. This shows the law in the United Arab Emirates is just," Hassan Mattar, the pair's lawyer, told Reuters, adding that it was not clear when the pair would be deported.

The court did not give a reason for its decision, and neither Acors nor Palmer were present at the hearing.

The tourism hub of the Gulf, home to man-made palm-shaped islands and the world's tallest building, charts a delicate course between maintaining its Muslim identity and catering for a cosmopolitan population and booming tourism industry.

Expatriates comprise more than 90 percent of Dubai's population, attracted by tax-free earnings and year-round sunshine. There are frequent reports of foreigners falling foul of local laws in the United Arab Emirates that strictly control drinking and ban homosexuality and public displays of affection.