Paul O'Grady moves his show to ITV

Paul O'Grady was set to sign a multi-million-pound deal with ITV today — despite saying he would "rather sweep the streets" than work there again.

The TV chat show host, 54, has been lured back with the promise of a Friday night programme that will see him running head-to-head against Jonathan Ross on the BBC.

Change of heart: Paul O'Grady at ITV studios yesterday with doggy pal

The prime-time ratings slot would mark a U-turn for O'Grady after he made an astonishing attack on ITV when he left in 2006, saying: "I would rather be sweeping the streets than working for ITV.

"Working at ITV was like the court of Caligula. I can't work for these petty tyrants any more."

Channel 4 budget cuts of up to 60 per cent meant his daytime series The Paul O'Grady Show faced the axe, and a breakdown in talks for a show with Sky was thought to have led to his move.

O'Grady, whose dog Buster accompanies him on screen, said: "We can't make it on that budget. It'd be just me and the dog."

The Scouser, famed for his drag alter ego Lily Savage, is set to sign a two-year deal believed to be worth £8m.