David Cameron has promised to set up a public inquiry into phone hacking at the News of the World.
The UK prime minister said claims that the voicemail of murdered schoolgirl Milly Dowler had been hacked, with some messages deleted, were "disgusting".
But he said an inquiry must wait until police investigations were over - Labour says it should be set up sooner.
Meanwhile News Corporation chief Rupert Murdoch said the allegations were "deplorable and unacceptable".
But he stood by News International chief executive Rebekah Brooks, who was editor of the News of the World at the time, and has faced calls for her resignation.
Mr Murdoch, the head of News Corporation, the newspaper's parent company, said in a statement: "I have made clear that our company must fully and proactively cooperate with the police in all investigations and that is exactly what News International has been doing and will continue to do under Rebekah Brooks' leadership."
He added that he was "committed to addressing these issues fully".
http://www.bbc.co.uk/news/uk-politics-14036673
Note: 6 July 2011 Last updated at 19:53 GMT