All of Carlton's pay channels failed, while ITV3 and ITV4 have performed significantly better, ratings wise than their GSB predecessors ever did. And it's done wonders for ITV in regards to ad revenue.
Apparently Carlton were starting to do pretty well, but then found that their main platform disappeared from under them. (I'm surprised that Carlton Select and Cinema continued on cable for a good 9 months after ITV Digital's closure.)
Carlton Select closed down for good in March 2000, it was removed from cable and On Digital at that time. From memory on DTT
it was replaced by Taste/CFN on a full time basis (I think 7am-12am). On cable they put Carlton Cinema in its place, albeit from 7pm to 7am.
Taste CFN was withdrawn at the end of November 2001 from cable and DTT.
The only Carlton channel that survived after ITV Digital collapsed was Cinema, which bit the bullet on 31 March 2003.
I think the powers that be thought that keeping these channels away from Sky meant that more people would sign up to DTT, but even ITV1 being DTT only didn't help it.
I used to read What Satellite TV magazine for a while, and I remember an article just before the launch of Sky Digital stating that there had been negotiations between Sky and Carlton for the carriage of their channels, but this never materialised.
I know NTL Digital carried the entire Carlton bouquet of channels, can't say whether Telewest did.