O'Grady 'to decide C4 future this week'

Paul O'Grady will make a final decision on the future of his Channel 4 chatshow this week, a report has claimed.

Earlier this month, the comedian threatened to leave the broadcaster over plans to cut his programme's budget by half.

According to The Guardian, O'Grady has since been in talks for new projects with ITV and Sky. It is believed that the most fruitful discussions have been for a peaktime weekend show on Sky1.

A source close to the star said: "There have been various approaches from different broadcasters and there are ongoing talks with Channel 4. Everything is in flux at the moment, but more should be known towards the end of next week."

Sky1 controller Stuart Murphy is said to regard O'Grady as a "key target" for the channel.

An insider commented: "The big thing for whoever he talks to though is that Sky1 - like other channels - can't offer a fortune, but it is about trying to say 'this is what he wants to do with the channel - make it like HBO'. Marketing is also a big thing for talent - they love how much Sky pushes shows."

O'Grady moved from ITV to Channel 4 in 2006 following a dispute with his former employers.