A damning letter has been revealed by lawyers in a parliamentary enquiry, confirming that News of the World bosses knew all about phone hacking.

The letter, written by News Corporation’s lawyers Harbottle & Lewis as an appeal for former royal editor Clive Goodman against his dismissal, suggests that phone hacking methods were used regularly by the newspaper.

Tory MP John Whittingdale and chairman of the Commons culture committee said James Murdoch may be recalled for further questioning.

Other ex-News International bosses are expected to be asked to give evidence in front of MPs in September.

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Senior News Corporation figures, including James Murdoch have insisted that phone hacking was limited to one rogue reporter.

Les Hinton, who was chairman of News Corporation’s newspaper division, was also named in the letter.

Another letter by Harbottle & Lewis that accompanied the original said Rupert and James Murdoch and other senior bosses had been “misleading” and “inaccurate”.

The firm also told MPs that their review of emails had been limited to a specific time period.

A News International spokesman said in response to the letter’s release: "We recognise the seriousness of materials disclosed to the police and Parliament and are committed to working in a constructive and open way with all the relevant authorities."

At this stage, Goodman is the only journalist that has been convicted of intercepting telephone messages.