BSkyB must reduce its holding in ITV from the current level of 17.9% to below 7.5% and not take a seat on the ITV board, the government has ruled.
Business Secretary John Hutton accepted the findings of the Competition Commission's study into BSkyB's stake.
BSkyB has until Monday 25 February to lodge an appeal against the decision.
ITV said that it warmly welcomed the government's decision, while BSkyB said it would carefully consider the findings before deciding what to do.
On 17 November 2006, BSkyB announced that it had spent £940m buying 17.9% of ITV, but ITV's share price has fallen significantly since then.
BSkyB bought the shares for 135 pence each. They opened on Tuesday up 1p at 73p.
At current prices, BSkyB could lose about £250m from the Sale
of the shares.
Mr Hutton has decided not to announce how long he is giving BSkyB to sell the shares.
THIS GOVERNMENT IS THE ABSOLUTE SCUM OF THE EARTH... OBVIOUSLY GOT THEIR GENITALS STUCK RIGHT UP VIRGIN'S ARSE!!
How about the government stop wasting millions on the doomed Northern Rock, and give Sky back what they are set to lose?
WTF... if Virgin Media had bought ITV, not only would it then have become seriously unstable, they would have returned to the position they were in 7 years ago where ITV wouldnt broadcast on Sky Digital, thus ending ITV as a PSB, and they would have been liable to have been torn apart by any PE group that decides to buy Virgin Media...
Sky having share's in ITV help's towards to future of ITV as a company, Sky would'nt just let a massive asset die and lose million's over it, Virgin Media would as it's what they do best!!
I think this is absolutely bang out of order, and this government needs kicking out asap... Why the hell are the "competition commission" moaning at Sky for supposedly 17.9% being "unfair" when Virgin Media wanted 100% of the freaking company!!! Obviously the CC have been paid by Virgin Media! BBC News Report