Abstract: A method of allocating radio channels, between the base stations of a multi-base station radio system, uses a mathematical model of the radio system which is derived from an analog of the radio system. The analog is a thermal bath containing a plurality of interacting particles, each particle in a particular spin state. The number of particles at a given location in the thermal bath, corresponding to the traffic demand at an equivalent location in the radio system, each occupied spin state corresponding to a particular radio channel. The model is operated by allowing the spin states to relax, by means of a stochastic reduction in temperature of the thermal bath, from an initial infinite temperature, to a minimum energy, which equates to an acceptable level of interference between radio channels, operated in the different cells of the radio system. The distribution of spin states at the minimum energy determines the allocation of radio channels.