Scandal arrests put pressure on Cameron
The Prime Minister was forced to defend his decision to hand Andy Coulson a top Downing Street post following stinging criticism from opponents including Labour leader Ed Miliband.
There are to be two inquiries following the News of the World phone hacking scandal, one to investigate criminal allegations and whether other newspapers are implicated, the other to look at the practices of the UK Press.
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Hide AdMr Coulson, 43, and his former royal editor Clive Goodman, 53, were arrested yesterday by detectives investigating alleged phone hacking and illegal payments to police by the Sunday tabloid.
It was the latest bombshell in a catastrophic week for publishing giant News International, which is closing the News of the World in an attempt to stem the crisis.
The scandal now appears increasingly likely to affect owner Rupert Murdoch’s controversial bid to carry through a full takeover of broadcaster BSkyB. More than £1bn was wiped off BSkyB’s share prices yesterday over fears the bid could be in jeopardy.