The channel has decided not to order another series of the primetime chatshow after disappointing ratings, Broadcast claims.
According to sources, the programme "was not a happy ship" and host Paul O'Grady was keen to move on.
A third series was expected to be filmed next year at The London Studios, but the booking is now thought to have been cancelled.
However, ITV is said to be considering working on a new project with O'Grady in the future.
O'Grady returned to ITV in 2009 after a period hosting a show on Channel 4. He originally left ITV in acrimonious circumstances, describing the channel's executives as "petty tyrants", but later explained that he has moved on from the dispute.
O'Grady has not yet commented on the reports of his show's cancellation.
> Paul O'Grady should judge Britain's Got Talent, say Digital Spy readers