MORE than a million TV viewers were last night facing the prospect of losing their favourite stations as administrators raced against time to save ITV Digital from liquidation.

The service - cornerstone of the Government's plans to put Britain at the forefront of the digital television revolution - could fold as early as the weekend.

Administrators Deloitte & Touche were locked in negotiations with pay TV programme suppliers last night to prevent them pulling the plug.

But the chances of a rescue bid looked bleak. A collapse would leave ITV Digital's 1.2 million customers without all their subscription channels.

The latest development also leaves scores of English football clubs staring into a financial abyss. ITV Digital was put into administration last month after failing to renegotiate its contract with the Football League.

The League turned down a £70m offer - some £100m short of the originally agreed figure - but it could end up with nothing.

Deloitte & Touche said ITV Digital's owners, Granada and Carlton Communications, had not come up with extra cash to keep the business going. The only option was to find a buyer immediately or break it up.

The administrators put the firm up for sale on Monday, but yesterday said they did not have enough funds to be able to commit to a long-term sale process. Instead they are offering the business and assets for sale with immediate effect.

This means the assets - such as the subscribers, network, technology platform, set-top boxes and ITV Digital's advertising gimmick Monkey - could all be sold separately. However, it is understood that if a sale is not agreed within days, the company could be forced into liquidation.

For the time being, ITV Digital's subscribers will still be able to receive free-to-air digital channels BBC 1-4, News 24, ITV1 and 2, Channel 4, Channel 5 and the ITN News Channel.

But a huge cloud hangs over subscription services provided by Sky and UK TV, a joint venture between BBC and Flextech. Discovery, Viacom and Channel Four also supply programmes.