A row has blown up between Ulster TV and ITV over claims that the newly merged company is selling on hit shows such as Coronation Street to ITV2 too cheaply.
A row has blown up between Ulster TV and ITV over claims that the newly merged company is selling on hit shows such as Coronation Street to ITV2 too cheaply.

Ulster, one of the three remaining independent ITV franchise holders, pays towards shows such as Coronation Street and Emmerdale through its ITV1 budget contributions. However, many of the shows - including films - are then repeated on ITV2, which is wholly owned by ITV plc, formerly Carlton and Granada. ITV2 has its own budget to buy such shows, but Ulster is concerned that ITV2 is not paying a fair price.

An Ulster spokeswoman said: "We are in dispute with [ITV plc] about the charging from ITV1 for ITV1 programmes to ITV2 and ITV News."

A source suggested that if ITV1 got market rates for its shows from ITV2, it could in turn lower ITV1 programme costs. Ulster would then have to contribute less.

Ulster is also concerned that the ITV News Channel is using ITV1 News programming for a cut-price fee.

Ulster is also believed to be annoyed at the amount of ITV1 spin-offs on ITV2, such as Pop Idol Extra , which it believes it is indirectly funding by paying towards the main shows on ITV1.

The other independent ITV companies SMG - owner of STV and Grampian - and Channel TV said they were not contesting the ITV2 issue, but SMG has expressed concerns about the ITV News Channel.