London’s local TV channel leaves Sky just months after Virgin dropped local channels from its line-up. Is satellite and cable being axed to save coverage on Freeview?
- London TV last remaining local channel to leave Sky line-up
- Dramatic cut in availability comes months after broadcast licence were renewed
- Distribution on Freeview also threatened.
London TV’s signal on Sky satellite was turned off this morning, dramatically reducing the channel’s reach among households in the capital.
The channel, which replaced London Live last year, was the last remaining local service on satellite. The removal comes just weeks after local TV channels, including London TV, were removed from cable TV networks across the UK.
London TV is now only available on Freeview and Freely for viewers in London. However, Freeview coverage is patchy, as the signal carrying the local channel cannot broadcast at the same power as national TV services.
London TV had previously been available on Sky satellite channel 117 and Virgin Media channel 159. It was never available on Sky Stream. It’s understood London TV inherited satellite distribution arrangements from its predecessor London Live, which it replaced in early 2025.
Funding crisis
Local TV services were rolled out from 2013 across the UK as part of an initiative by the Coalition Government of 2010-15. Originally, local TV services received support from licence fee money for the first years of operation. Beyond that, local services have had to find their own ways of remaining financially viable. Unlike in the USA, local TV channels are not affiliated to or owned by a major broadcaster.
Months after Ofcom renewed local TV broadcast licences, income from third parties that previously covered the cost of broadcasting on Freeview has dropped so that local TV owners now face a funding gap.
RXTV understands cutting costs on cable and satellite distribution may free funds for maintaining a core service on Digital Terrestrial TV (Freeview). Ongoing transmission on Freeview is a requirement to meet Ofcom’s licence conditions. There are no such requirements for other methods of receiving TV.
Local channels picking up the bill
Comux, the company set up to distribute local channels on Freeview, and owned by local TV licence holders warned of a financial squeeze this spring. In its latest financial statement, it warned that in the absence of cost-cutting and third-party revenues, it will become “reliant on funding from its shareholders [local TV companies] to meet its liabilities.”
As part of the configuration of local services on Freeview, spare bandwidth alongside each local channel can be offered to third parties. Revenue earned from this is designed to help cover the cost of Freeview distribution.
Comux was recently able to sign a contract with WBD to distribute two +1 channels on Freeview (TLC+1 and Quest+1) on its spare Freeview capacity, but it appears to have lost wedotv movies, which suddenly ceased broadcasting on 22 May. The deal to carry two WBD channels is understood to reflect lower market rates. It previously lost out of revenue from carrying Narrative Entertainment’s children’s channels on linear Freeview – these have switched to streaming.
As a result, local TV companies are on the hook to cover costs.
But Comux’s biggest shareholder, That’s TV, is currently facing its own financial issues. Parent company That’s Media is facing compulsory action to be struck off the Companies House register after failing to submit accounts. That means it is unlikely to be able to support Comux. Under Comux’s Articles of Association, despite That’s TV being the largest shareholder (as it operates more local services than anyone else), no single entity can exercise full control of Comux.
Comux has said it’s been in discussions with shareholders regarding “appropriate means of financing the company.”
Why is this important?
Digital Terrestrial TV (Freeview) is now the only way the majority of local channels can be received. Like London TV, Freeview reception can be patchy due to local TV channels lacking high power coverage to match national services. Satellite and cable distribution ensured viewers across all of each station’s coverage area could reliably receive the signal.
As more viewing shifts online, a small number of local services also stream on Freely. For the most part, the majority of local channels have only a limited presence online. In the case of London TV, a Google search is more likely to direct viewers to similarly named services not related to the TV channel.
Without public funding for non-affilated local TV channels (as is common in parts of Europe) it appears local channels may only have limited time left.
In the absence of a clear online strategy, such as making live streams available, Freeview-only services will increasingly suffer from low reach and become even less attractive to advertisers.
Ofcom has so far not commented on the ongoing issues affecting local channels.
By: Marc Thornham | Image: Local TV Limited