Final answer:
The War of 1812 ended largely because neither the United States nor Great Britain was winning, and both sides sought to conserve resources and stabilize relations. The Treaty of Ghent restored pre-war borders without resolving Native American land issues.
Step-by-step explanation:
The United States and Great Britain ended the War of 1812 for several reasons, among which was the fact that neither side was clearly winning. This prolonged conflict, draining both nations of resources, particularly affected the British as they were also heavily invested in the Napoleonic Wars. Without a strong footing in any clear victory and recognizing the futility of further conflict, both nations saw the benefit of ending the war. The Treaty of Ghent effectively concluded the war by restoring all borders and territories to their pre-war status, although it failed to address the commitments made to Native American lands.
Another noteworthy point is that while the British government had not actively sought a war with the United States, naval necessities during the Napoleonic Wars—such as impressment of seamen—stirred tensions that led to the outbreak of the War of 1812. Moreover, post-war, both sides aimed to improve their relationship, reflecting a mutual desire to avoid further conflict in favor of diplomatic solutions.