Unilever signs €500m ITV deal

Unilever has signed what it believes is the largest advertising deal of its kind with ITV.

The company has committed to paying £320m (€500m) over four years to promote its household brands, including Birds Eye and Persil, on ITV1.

The deal is a massive boost to broadcasters Carlton and Granada, which handle airtime sales for the whole ITV network.

Both companies report results for the first half of their financial year this week and they are likely to be heavily scarred by the collapse of ITV Digital.

The deal also reflects a growing feeling in the City that the advertising market is beginning to recover from the economic slowdown.