Cameron discussed BSkyB with Murdoch

British prime minister David Cameron has admitted that he discussed News Corporation’s takeover bid for BSkyB with James Murdoch while the government was deciding whether to approve it.

Cameron acknowledged his embarrassment at attending a party thrown by then News International chief executive Rebekah Brooks — where the conversation took place — and hinted that he regretted doing so in retrospect.

But he insisted there had been no “grand deal” with Rupert Murdoch’s media empire to wave through the takeover in return for support from News International newspapers.