ITV wants 10 BBC digital channels

ITV chief executive Charles Allen is this weekend expected to open talks with the BBC over acquiring the broadcaster's BBC Worldwide digital channels.

Allen is likely to raise the issue with BBC director-general Mark Thompson at the Edinburgh television festival this weekend.

BBC Worldwide brought in £657m last year from activities such as licensing programme formats and selling shows abroad. It also runs UKTV, a joint venture with cable television company Telewest, that includes ten digital channels such as UKTV Gold and UKTV History.

Acquiring the BBC's stake in UKTV would boost ITV's limited digital channels. It has ITV2 and is preparing to launch ITV3 shortly, but the growth in multi-channel television usage is one of the key reasons it is struggling to maintain audience share.

A review of BBC Worldwide's future is to be carried out by a panel headed by the BBC's chief operating officer, John Smith. The business, if sold, could be valued at more than £1bn.

Several venture capital groups are known to be looking at BBC Worldwide. Chief executive Rupert Gavin, who has resigned and will leave in October, has also made it clear he would be interested in leading a bid.

Allen is under pressure to deliver £100m annual cost savings at ITV as well as to grow the business.

ITV declined to comment.