Sky to pay £1.6bn for ITV's broadcast and streaming division

ITV has agreed a £1.6bn deal with Sky, the owner of Sky News, for its media and entertainment arm following months of talks.

The agreement, subject to shareholder and regulatory approval, will create the UK's largest commercial broadcaster via the acquisition of the ITVX platform and ITV's free-to-air channels, but not ITV's studio operations.

The proposed combination was first revealed last November.

It aims to create a UK-focused streaming giant amid the challenge posed by larger, established US platforms such as Netflix and Amazon Prime Video.

The integrated streaming platform will have over 16 million viewers every month, Sky's chief executive Dana Strong said.

Read more: Why a Sky-ITV deal makes sense

Under the agreement ITV channels with shows like Coronation Street, Emmerdale, I'm a Celebrity... Get Me Out of Here! and Love Island will remain free-to-air.

The combined business could also "supercharge" ITV's sports offering, according to Ms Strong.

Studio guarantees

Guarantees have been given to the studios wing of ITV, which creates TV shows and is not included in the deal.

The combined Sky and ITV entity will spend at least £2.1bn from 2028 to 2032.

Money blog: 'I'm an air traffic controller - here's what we earn'

This commitment will support British programming, production and creative jobs across the UK, an ITV announcement said.

The Sky-owned Love Productions, which makes the Great British Bake Off, is being sold to ITV for £200m to enhance "creative capabilities and portfolio breadth", the corporate announcement said.

"As long as consumers love Coronation Street, we will absolutely be delivering Coronation Street," Sky CEO Dana Strong said when asked about what happens after the minimum spend agreement ends.

"So we've got all of the shows that consumers love in a five-year contract. That's a pretty long contract, as you know, in our industry. So I have no concerns about what happens after that. You just start negotiations for continuation," Ms Strong said.

News operations

All ITV public service broadcasting commitments are to be maintained under the deal. And Sky said ITV News, produced by Independent Television News (ITN), and Sky News were set to remain distinct editorial voices.

The current ITV-ITN contract is due to expire in 2030, which Ms Strong said is a "pretty long content deal for our industry".

As the end of the contract approaches, Ms Strong said, "you just start renegotiating".

"The national news, the international news and the regional news that ITV currently produces are all exceptional and will continue," she said.

Sky is the owner of Sky News.

Job losses?

Speaking to Sky News, Ms Strong did not give a number of possible job losses as part of the purchase, but said they would be in commercial and corporate functions.

"There is some duplication in roles in corporate functions and commercial functions as there is when you bring, inevitably, two organisations together," she said. "But it's the minority of the synergy."

Sky had said about £200m in annual cost savings could be realised by the purchase.

"We need to get a little bit closer to the businesses to look at where exactly the overlaps are," Ms Strong added.

Reaction

The chair of the Commons Culture, Media and Sport Committee, Caroline Dinenage, said the news "reflects how British broadcasters feel the need to take steps to accelerate their growth so they can better compete with the global media streaming giants".

"It will be important to have some early clarification on the future of ITN, which is 40% owned by ITV, given the implications of the deal for the plurality of news," she said.

"ITV's role providing regional news programmes that so many people rely on also needs to be protected."

(c) Sky News 2026: Sky to pay £1.6bn for ITV's broadcast and streaming division