A free-to-view satellite television and radio service from the BBC and ITV is being launched across the UK today.

Freesat will be available to 98 per cent of UK homes, including those that cannot receive Freeview, which is broadcast via terrestrial transmitters and aerial.

The new service will initially feature more than 80 television and radio channels, expected to rise to 200 by the end of the year. Viewers will be able to watch high-definition (HD) programming without paying a subscription.

Customers will have to make a one-off payment of £150 for a digital box, satellite dish and installation and viewers will need an HD-ready television to view high-definition programmes.

It is not the first subscription-free satellite system on the market, Sky has been offering 200 channels, including BBC and Luxe HD, via its own Freesat service since October 2004. The News Corporation, the parent company of Times Online, has a 37.2 per cent stake in BSkyB.

The BBC's media correspondent, Torin Douglas, said the BBC and ITV were hoping their new service would also increase interest in HD television. Millions of people have already got HD-ready television sets.

Emma Scott from Freesat told BBC Radio 5 Live: "It's only homes that really don't have a clear line of sight to the satellite that can't get it, or certain listed buildings.

"But unlike Freeview, you can receive Freesat across the country, which means that in those areas that at the moment can't get access to free digital television this is the first time that you can get free digital TV."

The BBC Trust has said Freesat is guaranteed to remain subscription-free. Set-top boxes will be available from high street retailers, who will also arrange installation.

Details of the television and radio service are being unveiled today by Michael Grade, the chairman of ITV, and Mark Thompson, the Director-General of the BBC.

Editor's choice

• Gordon Brown’s secret to stayin’ alive
• What’s up with Woody?
• Can Cannes get serious?