Channel 5 Update

The ITC has made two further trans- mitter sites available for Channel 5, which will increase its potential population coverage by over half a million viewers.

The two sites, in Cheltenham and Gloucester , will increase the UK coverage of Channel 5 by 1% to approximately 74%. These sites will be the last additions to the Channel 5 network for the purpose of advertising the licence.

The ITC’s announcement comes in the same week that two of the expected bidders for the franchise have now decided not to go ahead with their bids.

Luxembourg-based CLT this week voted against investing in a Channel 5 bid following the findings of a feasibility study which estimated the cost of establishing the network at around £500m , twice as high as previous estimates.

Silvio Berlusconi has also put plans for an application on hold after deciding to concentrate on reducing his debts for the next three years.

CLT’s study suggests that Channel 5 could only be profitable by transmitt- ing on the Astra satellite. Other likely bidders who have so far expressed an interest in the licence include Thames Television and TV-am, who it is rumoured may make a joint bid for the franchise, and Phil Redmond’s Mersey Television, which was also un- successful in its bid for a Channel 3 licence last week .