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Signs of compromise in TV payment row
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Signs of a compromise in the ongoing row between the Football League and ITV Digital have grown today after the broadcaster won another week's reprieve from liquidation in order to continue negotiations with the League. The news follows the first hint from the clubs that they may be willing to accept a payment some way less than the ?179m still owed.
Administrators for ITV Digital have told the high court that owners Carlton and Granada have agreed to fund the station for another five days to see if they can renegotiate the deal with the League. Accountants Deloitte and Touche said that if a solution was not found by that time the company and its little monkey would be sold "as a going concern."
Meanwhile, earlier this morning, the chief executive of the Football League, David Burns said the League may be prepared to accept a ?100m pay-off from ITV Digital to buy their way out of their broadcast contract. Burns hinted that that figure may persuade his member clubs to cut their losses and set about finding a new buyer for the rights to televise their matches.
Asked on Radio 4's Today programme whether he would accept a figure of ?100m, Burns indicated that might represent a way forward. "It would depend on what basis it was offered," he said. "Are they offering it and giving us back the rights to go to another broadcaster?
"It is not just for me to accept. I have to take that to my clubs", he said. "If the clubs said yes then that ?100m would be an acceptable offer."
ITV Digital's owners were originally contracted to pay ?178m over three years for the exclusive rights to broadcast Nationwide League matches.
But the broadcaster went into administration last month, and owners Carlton and Granada made it clear they were not prepared to bankroll ITV Digital in order to fulfil their part of the contract. An offer from ITV of ?60m is currently on the table, but this has already been rejected by the Football League.
Burns also called on the Government to help find a solution to the impasse and once again launched stinging criticism of Carlton and Granada's handling of the situation.
"Carlton and Granada seemingly just refuse point blank to sit down with us," he said. "Last night I met [Sports Minister] Richard Caborn and said 'Can you not intervene and request earnestly that these people sit down and talk to us?'
"I have made it clear that we would not ask Government to intervene and give us money. What we would ask them to do is to take away the tax break to Granada over the next two years, which is 10 times what they owe us."
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