(Adds Labour reaction, details)
LONDON, July 13 (Reuters) - British Prime Minister David Cameron welcomed a decision by News Corp to withdraw in its bid for pay TV broadcaster BSkyB , his office said on Wednesday.
News Corp’s bid had come under increasing criticism from all political parties because of allegations of phone hacking at its now defunct tabloid the News of the World.
“The business should focus on clearing up the mess and getting its own house in order,” a spokesman for Cameron said in a statement.
Opposition Labour leader Ed Miliband said the withdrawal of the bid was “a victory for people up and down this country who have been appalled by the revelations of the phone hacking scandal”.
“Nobody should exercise power in this country without responsibility,” he said.
Earlier, Cameron announced the details of a judge-led public inquiry into the phone hacking affair. Parliament had been due to vote on an opposition motion against News Corp’s bid later on Wednesday, with all the main parties expected to support it.
Reporting by Matt Falloon, Editing by Keith Weir