Abstract: In a quantization noise reduction circuit (200), a feedback signal (W)is added to an input signal (X) to the quantization circuit to reduce quantization noise. The feedback signal is generated as a filtered difference between a sample of a N bit signal (X') and a time coincident sample of a M bit quantized signal, where M<N. The feedback signal is subtracted from the input signal (X) prior to quantization thereby introducing out of band noise into the input signal for reducing in band noise in the quantized signal (Y).