As it happened: Phone hacking scandal

Key points

• News Corp announces it has withdrawn its bid to take full control of BSkyB
• David Cameron clashes with Ed Miliband over Andy Coulson at final PM Questions before summer recess
• David Cameron appoints Lord Justice Leveson to head phone hacking inquiry
• Inquiry will have power to call media proprietors, editors and politicians
• Prime minister meets parents of murdered schoolgirl Milly Dowler