Sky is reportedly lobbying Ofcom for a new set of regulations, which could see it bid for local news against ITV.
It has already begun work on the Sky News Local concept, which would offer bulletins and online coverage for the nations and regions.
However, it is dependent on “genuine regulatory reform” by broadcast operator, Ofcom.
A Sky spokesperson said that they believed that the current “duopoly” of the BBC and ITV left audiences “underserved.”
“Viewers want to see more local stories from their communities – we proved that with our election coverage on Sky News, which was available for free in every home and on our digital channels,” explained the spokesperson.
“We will work with both Ofcom and government to support the evolution of local news in the UK, helping to reach audiences that are underserved by the current system.”
In January, Ofcom will be reviewing public service broadcasting and Sky’s argument is that there should be a new regulatory framework around public service broadcasting obligations.
This could mean a bidding system between commercial broadcasters to provide local news services.