This Sunday's issue of the News of the World will be the last edition of the paper, News International chairman James Murdoch has said.
In the past few days, claims have been made that the paper authorised hacking into the mobile phones of murdered schoolgirl Milly Dowler and the families of 7/7 bombing victims.
Mr Murdoch said proceeds from the last edition would go to good causes.
Downing Street said it had no role or involvement in the decision.
The News of the World is the UK's biggest selling newspaper and has been in circulation for 168 years. More...
Read full statement here: News of the World to close...
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