A method of enhancing picture quality of a video signal is disclosed. The method comprises the steps of generating an interpolated base frame image; receiving a first previously decoded difference picture; receiving a second previously decoded difference picture; generating a combined motion compensated difference surface; and generating a temporally interpolated enhanced picture based upon the interpolated base frame image and the combined motion compensated difference surface. A circuit for enhancing picture quality of a video signal is also disclosed. The circuit comprising a base decoder generating a base image of a standard definition picture; a temporal predictive interpolator coupled to the base decoder and generating an interpolated block; and a summing circuit coupled to the temporal predictive interpolator. The summing circuit preferably adds the interpolated block and a difference block.