Freesat has denied trying to squeeze Channel 4 for more money, claiming that its new pricing structure simply reflects the cost of running the platform.

The subscription-free satellite TV service, which offers digital TV channels along with streamlined access to catch-up services, announced earlier this week that Channel 4 HD and on-demand service All4 would be leaving the platform.

Channel 4 then said that it was pulling the HD version of its flagship channel along with All4, citing cost "significant" cost increases.

Freesat is jointly owned by the BBC and ITV and charges a broadcasters a fee for channels and apps appearing in its programme guide and menus. While all of the public service broadcasters - the BBC, ITV, Channel 4 and Channel 5 - are required to make their SD channels available on all TV platforms, there’s no requirement for HD and catch-up services.

Freesat has now responded, saying that while its fees were increasing, this wasn't to make a quick profit from the public service broadcaster.

"Freesat's aim is not to make a profit from these changes but simply to cover its operational costs," a Freesat spokesperson said to broadcast industry news site SeenIt.

"We believe that the redistribution of fees for broadcast channels makes it a fairer system for all our partners.

"Channel 4 remains an important partner for Freesat and we hope our customers are able to enjoy All4 and 4HD on Freesat again soon."

The running costs for the Freesat platform, which delivers SD and HD broadcast and catch-up content to over 2 million UK homes, has eclipsed income for "many years". This has prompted Freesat to review its fee structure in order to better maintain and develop the platform.

But while the cost for Channel 4 HD was set to increase, Freesat's spokesperson says there was no price rise for All4.

Yesterday, a Channel 4 spokesperson said: "We're disappointed Freesat is changing its charging structure, leading to a very significant cost increase for Channel 4, which ultimately takes funding away from our content investment budget," the Channel 4 spokeperson said.

"To reduce the overall burden of our Freesat costs and make internal savings we have regrettably given notice to withdraw All 4 and C4 HD while we consider our long term relationship with Freesat."