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ITV Digital To Fold Today
By: Bill Osborne
SHOCK waves ran through football today with the news that ITV Digital is set to be placed into administration this afternoon after Granada and Carlton Communications decided to make a high court application to wind up ITV Digital.
Granada and Carlton made the decision after the Football League refused to accept a Â£130m pay cut in their Â£315m broadcasting deal with the channel.
Deloitte & Touche, brought in last month to restructure ITV Digital, will probably be appointed administrators bar a last minute deal with the league.
ITV Sport, will close immediately.
Granada and Carlton said they would not put more money into ITV Digital unless the Football League, BSkyB agreed to renegotiate programme deals.
As the channel has always operated at a loss, the refusal to put more money into it would render it insolvent.
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