Rupert Murdoch’s News Corporation has offered to dispose of most of the Sky News channel to allay concerns about the planned take-over of all of BSkyB.

News Corp would either sell outright, or else separate off, the news channel to allay concerns raised by regulator Ofcom about media plurality.

The BBC’s Robert Peston understands it is likely to be enough for the BSkyB takeover to win government approval.

That could come later but ministers may still want a public consultation.

One possibility is that a demerger of Sky News to BSkyB’s existing shareholders has been agreed.

That would mean News Corp retains its 39% minority stake in the channel, while taking over 100% of the rest of BSkyB.

“Some will see that as a U-turn,” said Mr Peston – as Culture Secretary Jeremy Hunt had promised to heed the advice of regulator Ofcom, who wanted the deal referred to the Competition Commission