bitbucket on my own server
Solution 1:
Hgwebdir running in a web server (comes with mercurial) does everything except let you create the new repos with a click, which you can very easily do with a simple script you can put right in the hgwebdir footer.
Solution 2:
I have used bitbucket.org but I also wanted an in house DVCM server for my web development team, so we went with Redmine. This is tested and installed easy using BitNami images, http://bitnami.org/stack/redmine
Solution 3:
I've not tried it yet, but RhodeCode seems to have all the features you'd ever want from a web based repository manager.
You can create new repositories, fork current repositories and it allows you to set up user authentication and access rights.