ITV has agreed to sell its Media and Entertainment division to Sky, the British pay television company owned by Comcast, in a deal worth up to £1.6 billion ($2.1 billion), marking one of the most significant shake-ups in the U.K. broadcasting industry in decades. According to Reuters and The Guardian, ITV will receive £1.2 billion in cash at completion, with up to £200 million in additional payments tied to the division’s advertising performance in 2027. As part of the agreement, ITV Studios will acquire Love Productions, the producer of The Great British Bake Off, allowing ITV to sharpen its focus on content production while Sky expands its broadcast and streaming footprint.
The transaction includes ITV’s free-to-air television channels and its ITVX streaming platform but excludes ITV Studios, which will continue to operate as an independent global production business. Sky has also committed to spending at least £2.1 billion on programming from ITV Studios between 2028 and 2032, ensuring a long-term supply of British content following the completion of the acquisition. ITV Chairman Andrew Cosslett said the deal strengthens the company’s ability to grow its studios business while creating value for shareholders, with approximately £950 million of the proceeds expected to be returned to investors.
For Sky, the acquisition significantly expands its presence in the U.K. media market, combining its pay television and streaming operations with ITV’s nationwide commercial broadcasting network and advertising business. Dana Strong, Chief Executive Officer of Sky, said the combination would create a stronger British media company capable of competing more effectively with global streaming platforms such as Netflix, Amazon Prime Video, and YouTube, while continuing to invest in locally produced programming. The transaction remains subject to regulatory approval and is expected to close in the second half of 2027.
The deal reflects the accelerating consolidation of traditional broadcasters as audiences increasingly migrate toward digital streaming services. Industry analysts say combining Sky’s subscription business with ITV’s free-to-air channels and advertising platform could create the U.K.’s largest commercial broadcaster, strengthening its ability to compete for viewers, advertising revenue, and premium content in an increasingly competitive global media landscape.
