Updated: 16:58, 17:04, 17:14 GMT

Telewest Broadband informed Digital Spy this afternoon that a deal was reached late last night with MTV's parent company, Viacom. The MTV bouquet of channels will continue to be carried on the cable giant's television services.

Yesterday on this site we discussed how both sides in this dispute were resolutely defending their position; with Telewest saying that since the signing of EMAP's range of channels, there was no justification of MTV's existing fees; and MTV Networks Europe telling us that they continued to provide "the kind of music TV that nobody else can provide". Both Telewest and MTV did emphasise that they hoped for a successful settlement; and it would appear that it has transpired.

For more background and analysis on this story, see Digital Spy's extended coverage, including statements and statistics from both Telewest and MTV Networks Europe. Stay with us for more on this breaking news story as we get it. Discussion is continuing in our forums about the ramifications of this latest announcement.