David Cameron: 'There was no grand deal' with Murdoch

Prime minister David Cameron has insisted "there was no grand deal" between himself and the Murdochs, but accepted politicians and the media have become "too close".

David Cameron, who made the comments on the Andrew Marr Show on Sunday, is reportedly facing calls to make a statement to the House of Commons today on his response to evidence in the Leveson inquiry showing contact between the office of culture secretary Jeremy Hunt and News Corporation during its bid for BSkyB, which Cameron has branded as "too close, too frequent" and "inappropriate".

Hunt's special advisor Adam Smith resigned last week after evidence was submitted to the Leveson inquiry containing emails from News Corporation's head of public affairs, suggesting contact was being made with Hunt's office, said to be via Smith.

Former News International chairman James Murdoch told the inquiry they were "receiving feedback and information" but denied it was covert.

In a statement Smith said the "the content and extent" of his contact with News Corporation during the BSkyB bid "was done without authorisation from the secretary of state" and said his activities "at times went too far".

In Sunday's interview with Andrew Marr, Cameron faced questions about his own relationship with the Murdochs. The prime minister said it "is not true" that "there was some big agreement between me and Rupert Murdoch or James Murdoch, that in return for support for the Conservative party I would somehow help their business interests or allow this merger to go through."

"Rupert Murdoch said it under oath at the Leveson inquiry, James Murdoch said it under oath, I'll say it under oath."

He added that it "would be absolutely wrong for there to be any sort of deal, and there wasn't".

"The whole thing falls down. There was no grand deal. Did I spend time trying to win over proprietors? Yes. Did I spend time with the Guardian and Independent? Yes. Did I spend a lot of time with the BBC political editors? Yes I did. That is what politicians have to do.

"Have we all got too close? Yes. Do we spend too much time on the short-term news management agenda? Yes we do."

But he added that "the positions I reach are because I believe in them. I do not do things, change my policies to suit this proprietor or that proprietor, that's not the way I work."

Cameron was also asked about his decision not to call for an investigation into Hunt in relation to the ministerial code.

"This must be properly investigated – and it will. The ministerial code is for me, the behaviour of ministers is for me. I don't duck my responsibilities for one second. If that has happened I will act.

"But, what is best way of getting information about what actually happened? I don't believe there's any better process than an inquiry led by a judge where people give evidence under oath. That is why after consulting the cabinet secretary I thought it not right to carry out a parallel inquiry."

He added this does not necessarily mean he will wait for Lord Justice Leveson to report but that "if information arises that paints a different picture from the one we heard then obviously I know my responsiblity towards the ministerial code."

But he said at this stage: "I don't believe Jeremy Hunt breached ministerial code".

In his own statement to the House of Commons last week Hunt said accusations that he backed News Corporation's bid for BSkyB are "laughable" and "categorically" denied allegations of a "back channel" giving News Corporation the ability to influence decisions.

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