American-owned cable TV giant Telewest Communicationsis to inject between £60 million and £70m into UKTV, its British cable co-venture with the BBC.

The cash will be ploughed into the development of new websites based on BBC programmes and hard copy magazines. It will also fund interactive and digital cable TV services, along with home shopping.

It is also believed that the BBC’s new director general Greg Dyke has discussed with Adam Singer, Telewest’s chief executive, the possibility of floating UKTV. Onlookers believe that an IPO would value the joint enterprise at up to £1 billion.

The Times Business News (London)