
The deal follows the arrival of broadcast rival BT Sport last summer, which has kick-started a land grab around owning the sports space, and ramped up the amount BSkyB has had to pay to acquire football rights.
TalkTalk, which added 175,000 customers in the final quarter of 2013, will now offer live Sky sports for £9.99 a day.
Exclusively for TalkTalk YouView boxes, Sky will add its Sports channels – Sky Sports 1, Sky Sports 2, Sky Sports 3, Sky Sports 4, Sky Sports F1 and Sky Sports News – to the NOW TV streaming video player.
The existing wholesale deal between TalkTalk and Sky has also been renewed, giving the pay-TV company access to the broadcaster's popular Sky 1, Sky Living, Sky Arts and movie channels for a further three years.
Also in its third-quarter results, TalkTalk reported the number of broadband customers on its unbundled network increased above four million for the first time.
Tristia Harrison, managing director of TalkTalk Consumer, said: "This deal further cements TalkTalk’s position as the destination for value-seeking families who want flexible access to great content.
"We are delighted to have further extended our relationship with Sky. This builds on our announcement last November that we would be offering Sky Movies and Sky Sports on-demand to subscribers at no extra cost."
Since launching in its current form in November 2012 through a partnership with YouView, TalkTalk claims to be "Britain’s fastest-growing TV serve". It now has 732,000 TV customers.
Mai Fyfield, group director of strategy and business development at Sky, said: "As we embark upon our biggest ever year of entertainment, it allows us to extend the reach of must-see content and further grow our wholesale business.
"We continue to build strong, mutually-beneficial partnerships that allow us to bring our great channels to even more UK homes."
Last month, TalkTalk signed its first carriage agreement with Sony Pictures Television, making entertainment channel, Sony Entertainment Television available to TalkTalk subscribers on YouView channel 454.