Abstract. In this paper we generalize the iterated refinement method, introduced by the authors in [8], to a time-continuous inverse scale-space formulation. The iterated refinement procedure yields a sequence of convex variational problems, evolving toward the noisy image.The inverse scale space method arises as a limit for a penalization parameter tending to zero, while the number of iteration steps tends to infinity. For the limiting flow, similar properties as for the iterated refinement procedure hold. Specifically, when a discrepancy principle is used as the stopping criterion, the error between the reconstruction and the noise-free image decreases until termination, even if only the noisy image is available and a bound on the variance of the noise is known.The inverse flow is computed directly for one-dimensional signals, yielding high quality restorations. In higher spatial dimensions, we introduce a relaxation technique using two evolution equations. These equations allow accurate, efficient and straightforward implementation.