-Former editor Andy Coulson 'to be arrested tomorrow'
-Senior source said there was 'incandescent rage' in the newsroom
-David Cameron faces demands to launch investigation into press standards
-James Murdoch: The 'proud' history of the News of the World had been sullied by 'inhuman' behaviour.
-Current editor Colin Myler was given just ten minutes notice of the decision
-Speculation grows NotW will be replaced by The Sun On Sunday
-Ed Miliband continues to call for Rebekah Brooks's head
By James Chapman
In a desperate attempt to halt the phone-hacking backlash engulfing his media empire, Rupert Murdoch yesterday sacrificed the News of the World.
The tycoon moved ruthlessly to try to save his bid to seize full control of the broadcaster BSkyB and protect his embattled son James and UK boss Rebekah Brooks.
At the same time police were preparing to arrest Andy Coulson, former editor of the 168-year-old paper, over police bribery claims.
Stone faced: Rebekah Brooks leaves the offices of News International last night after making the announcement to staff that the paper was to close
Lets hope nobody's listening: James Murdoch leaves after yesterday afternoon's unprecedented events
Drowning their sorrows: Members of the News International staff console each other over a drink at a pub near the Wapping HQ
Murdoch sent shock waves through the political and media establishments with his decision to axe the News of the World, once the best-selling paper on the planet and still selling 2.6million copies a week.
Around 200 people could lose their jobs as a result of the decision a National Union of Journalists spokesman said yesterday
A senior source said there was ‘incandescent rage’ and a ‘lynch-mob mentality’ in the newsroom last night, all directed at Mrs Brooks.
On an extraordinary day of developments in the scandal:
-MPs of all parties described the closure as ‘cynical’ and a ‘management stunt’, predicting that Murdoch would quickly open a Sunday version of the Sun;
- Several senior Cabinet ministers were understood to be desperate to find a way to halt the tycoon’s £10billion battle for BSkyB while it was announced that a decision would not be made until September at the earliest;
-News Corp share prices staged a recovery after losing £610million from their value on Wednesday. But shares in BskyB slumped;
-It emerged that as many as 4,000 potential victims of phone hacking have been identified and could be in line for £120million in compensation;
-Corrupt police officers were said to have been illegally paid more than £100,000 for information by the News of the World;
-A second ‘former senior journalist’ at the paper could be arrested today while seven journalists and executives suspected of involvement in the scandal are expected to be arrested within days and are likely to face charges;
-Labour leader Ed Miliband expressed disbelief that one person to have kept her job is Mrs Brooks – editor of the paper when murdered schoolgirl Milly Dowler’s mobile phone was hacked.
End of the world: News International's offices at Wapping where staff were today told the News of the World will close
Facing the music: Andy Coulson, pictured with Mrs Brooks, will be arrested today after being told to report to a police station in London
Rupert and Wendi Murdoch arrive for the 2011 Allen and Co. Sun Valley Conference today. Mr Murdoch yesterday backed Mrs Brooks to continue as chief executive of News International despite claims that the News of the World hacked Milly Dowler's phone while she was editor