The Phone-Hacking Scandal: How Murdoch's UK Empire Fell

25 Oct 2025 · 11 min

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Podcast Summary: The Rest Is Politics - Episode: The Phone-Hacking Scandal: How Murdoch's UK Empire Fell

Episode Overview In this episode of *The Rest Is Politics*, hosts Alastair Campbell and Michael Wolff, a biographer of Rupert Murdoch, delve into the infamous phone-hacking scandal that rocked the UK and contributed to the decline of Murdoch's media empire. They discuss the implications of the scandal, its ethical concerns, and its impact on British politics.

Key Themes and Discussions

The Phone-Hacking Scandal

  • Nature of the Scandal: The scandal involved the illegal interception of phone messages by tabloids owned by Murdoch. Notably, the hacking of phones belonging to murdered children and their families shocked the public and raised serious ethical questions.
  • Public Reaction: The revelation of hacking into the voicemail of Millie Dowler, a murdered schoolgirl, was a pivotal moment. Her parents mistakenly believed she was alive due to the messages they received, leading to widespread outrage.

Personal Implications for Murdoch

  • Reputational Damage vs. Financial Costs: While the financial implications for Murdoch's empire were significant, the reputational damage was seen as potentially more damaging. The episode discusses how handling the scandal poorly exacerbated the fallout.
  • Wendi Deng's Role: Alastair Campbell highlights the role of Murdoch's then-wife, Wendi Deng, during the select committee hearings, where she famously defended him when an assailant attempted to throw a pie at him.

The Leveson Inquiry

  • Inquiry into Press Ethics: The scandal led to the Leveson Inquiry, which sought to address media ethics in the UK. Campbell and Wolff debate the effectiveness of the recommendations from this inquiry and how they were implemented.
  • Missed Opportunities: Campbell reflects on opportunities that were lost to challenge Murdoch's influence, particularly relating to the Conservative government's response to the scandal.

Broader Media Culture

  • Impact on Journalism: The episode discusses how the phone-hacking scandal and subsequent events have altered the British media landscape. There's a recognition that while tabloids have less readership today, their influence remains significant in shaping political discourse.
  • Future of Tabloids: Wolff and Campbell express sadness over the decline of traditional tabloid journalism, noting that the good aspects may have disappeared long before their decline.

Conclusion

  • The episode wraps up by hinting at the ongoing influence of Murdoch's operations, particularly in the context of Fox News and American politics, suggesting that the legacy of the scandal and Murdoch's empire continues to shape current affairs.

Key Takeaways

  • The phone-hacking scandal exemplifies the dark side of media practices and the fragility of public trust.
  • Reputational damage can surpass financial loss in crises, especially in the media industry.
  • The Leveson Inquiry was an important, yet ultimately insufficient, response to the ethical concerns raised by the scandal.
  • The changing landscape of journalism, particularly the decline of tabloids, signifies a broader shift in media influence and public engagement.

Next Episode Teaser In the next episode, Campbell and Wolff will transition to discussing the dynamics of Fox News and its connection to Donald Trump's political trajectory, highlighting Murdoch's ongoing influence in the media and politics.

For more insights and discussions, listeners are encouraged to join the TRIP+ membership for exclusive content.

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Transcript

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0:28Thanks for listening to The Rest is Politics. Sign up to The Rest is Politics. New projects and components? Just a few clicks. With your best practices already built in. Think less friction, more innovation. Ready to double your productivity? Try Spotify portal at backstage.spotify.com. This podcast is brought to you by Carvana. Carvana makes car selling fast and easy from start to finish. Enter your license plate or VIN and get a real offer in seconds, down to the penny. If you accept, Carvana will come pick up your car from your driveway. or you can drop it off at one of our car vending machines.

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1:45Alistair here, not with Rory, but with Michael Wolff. Because this week in our series on one of the 21st century's most significant figures, Rupert Murdoch, we're looking at one of his worst legacies within the UK the scandal of phone hacking when it was revealed that they were even hacking the phones of dead children it shocked Britain to its core exposed the very very dark side of our media if you're interested in a little more we've left a clip for you here to hear the full episode and get all the benefits of the TripPlus membership sign up at the rest is politics.com did you think that phone hacking would bring him down I thought it had the capacity to, not necessarily because of the crime itself, but because of their catastrophic handling of it.

2:30I mean, I can't remember what some were up to, but they're into the hundreds of millions in terms of the cost already. Now, in a sort of multi-billion company, that may not be so much. But I thought reputationally, if you can match the reputational damage to the financial damage, I could see that it might have done. And I thought his appearance at the select committee when Wendy Deng probably first entered public consciousness here in a big way because when the guy somehow smuggled through parliamentary security, a custard pie, whatever it was. And of course, in a weird sort of way, I think that sort of helped Murdoch in a bit because that's what people remember about it.

3:09And then they remember Wendy standing up and prepared to take this guy on. Whereas James, who's sitting there looking like a bit of a kind of wet fish, doesn't quite know what to do. No, and actually, because the marriage is breaking up at that point, although no one knows it. So Murdoch is pissed that she comes out looking like the hero. I think the moment of maximum, maximum vulnerability was this revelation, which really shocked people. because when it was people like me and John Prescott and Hugh Grant, political people, celebrities, they probably didn't really care. Or they thought you deserved it.

3:47Or that we deserved it, Michael, because we'd sold out to Rupert Murdoch, which I'm grateful that you've retracted that statement earlier. When it emerged that Millie Dowler, who'd been murdered, and others who'd been kidnapped victims and children who'd been abducted, that they were actually hacking the phones of murdered children to find out whatever. You got to one point where Millie Dowler's parents, at this stage, didn't know she was dead, were phoning and leaving messages to the extent that with all the other messages going on there, the voice box ended up being full. And the reason this was so horrific is because her parents are out of their minds with worry.

4:30they're phoning constantly leaving messages and they get this message that the mailbox is full and then they keep phoning and after a while they can leave a message so they think oh my god she's deleting her messages that's great that means she's alive so this actually leads them to think she's alive and that i think is what really cuts through to the public thinks you people are really really bad and that's what led to david cameron who people felt had been very soft on murdoch for the obvious reasons uh political chipping norton etc that's what led to cameron saying we have to have this inquiry into press ethics and that was the leveson inquiry no i mean that's the point at which this this this story becomes um i mean it becomes horrific you know the point is is celebrities and politicians, well, maybe you do have something to hide and maybe they should find it out.

5:27But suddenly we're in this territory of hacking people who have nothing. I mean, they have no, this is not, there is no news value here. This is just human suffering that tabloids make some of their living on. And it emerges, they've been doing it to British soldiers who've being killed in Iraq and Afghanistan to find out what their families are saying and doing. Bombing victims in the 77 London bombings. The mother of another murder victim, an eight-year-old girl called Sarah Payne. So this is just off the scale. James Murdoch resigns. James is not only resigns, he's basically forced out because, and certainly within the company, they believe that he may be arrested and they have to get him out of the country as fast as possible.

6:17Andy Coulson. is then arrested in July 2011. He's charged. He's convicted. He goes to prison. He's the only one of this whole escapade of the senior management that goes to prison. Rebecca Brooks, as we've said earlier, she was charged but not convicted, and including her husband, who was also charged because there was laptops going missing, usual stuff. Then we have this committee appearance. They were obviously trained out of their, you know, they were media trained to the nth degree, but I don't think they really did themselves much good at that. Rebecca Brooks was then arrested July 2011, but she gets off.

6:57But she goes through a long trial. I sat through that trial. Actually, I got held in contempt for that trial. Why? Because British laws are kind of... What did you do? I just wrote something. Apparently, you're not allowed to... Well, you're allowed to write about it. Tell me, what education do we have to give you now, Michael? What do you do? I wrote about the trial. And you said, she's guilty. Yeah, I probably said that. You can't do that, Michael. Well, in my country, you can. I know you can, but that's why the rule of law is breaking down. Here, you are innocent until proven guilty. so then we have the leveson inquiry and this i think is where your justified criticisms of us the political class and our i think this is where it comes to a head i am by now in what tony blair used to call my jihadi mode i'm absolutely convinced this is the moment at which this wretched media culture in our country has to be changed and cameron has the opportunity to do it David Cameron said that if Lord Leveson produces recommendations which are not bonkers, was his phrase, we will implement them.

8:14The regime that was brought in for press regulation was little more than a sort of, it was another win for the press. And what's more, Leveson 2, which wasn't happening at the time because of all the criminal investigations going on, which was into relations between News International and the police, that was dropped subsequently by the Conservative government. So you talk about missed opportunities and blame it on me for not challenging Murdoch at the wedding. That was a massive missed opportunity. And I still think we're paying a price. It's a broader discussion about whether you think the tabloid press has continued with its particular power, given the fact that the tabloid press is a shadow of what it once was, even 15 years ago.

9:02That's true. That is true. And as somebody who comes from a tabloid journalist background, I find that very sad on one level. But I think in a way, the good that was in tabloids had gone anyway. But I still think our media culture has been very, very badly damaged. I think it's damaged our broadcasters. Because I think the problem with our broadcasters today is they're still massively influenced by a written press. So even though the sort of numbers of people who read the written press has gone down, their influence within the political debate is still pretty strong, even with social media, AI, and all the other stuff that's coming along.

9:37So there we are. My God, we got through a lot in that episode, Michael. You know, I mean, it just goes that there is always a lot at every point in Murdoch's career. I mean, more than in all other careers in some sense. I mean, because he's partly partly because he's operating at so many in so many different different venues at a given period of time, but also because he's doubling down constantly. Good. Well, that's this episode. And in the next episode, we're going to be back in the United States and we're going to be talking about the rise and rise of the Fox News behemoth alongside the rise and rise and fall and rise of Donald Trump.

10:21We'll see you then. See you then, Michael.

10:51tea time tea time you. Mmm. So update on Dave. It's up to you. We'll take the laundry. Rinse. It's time to be great. There's about 10 seconds left on the clock. The Instacart shopper has to nail this handoff. He's flying down the sidewalk. He's looking for the receiver. Lining up the pass. And he did it! Game day is saved! Wait, Dad. Did you forget, Deb? And we're back. Get ready for game day with Instacart and get$0 delivery fees on your first three orders. Service fees apply. Three orders in 14 days excludes restaurants. Instacart. We're here. Alistair Campbell here. Now, we've just released a series on one of the most controversial and consequential people of the past 50 years, Rupert Murdoch.

11:40I think you can argue that he is the most consequential figure of the second half of the 20th century. He holds power longer than anyone else in our time. And it's meaningful power. It's phenomenal power. Power without responsibility, the prerogative of the harlot throughout the ages. This is where he becomes not just a newspaper owner, he becomes a major newsmaker. Fuck, Dacre, publish. There is always a premium on bringing him gossip. I don't know what you mean by downmarket and upmarket. That is so English class-ridden snobbery when you talk like that. How you get it doesn't make any difference.

12:19Actually, to be perfectly honest, whether it's true or not doesn't make much difference. There is a massive, massive scandal brewing. This was industrial, illegal activity. And that, I think, is what really cuts through to the public and thinks you people are really, really bad. I would just like to say one sentence. This is the most humble day of my life. There is no Donald Trump without Fox News. His dream was always to elect a president of the United States. The bitter irony is that that turned out to be Donald Trump. A man he detests. He is conquering the world. There's nothing less than this methodical step-by-step progress to take over everything.

13:05To hear more, sign up at therestispolitics.com.

From the publisher

What was the phone-hacking scandal and how did it escalate into a major crisis? How was Alastair himself implicated? What did Rupert Murdoch's marriage to Wendi Deng mean for his family's fortune?

Alastair is joined by two-time Rupert Murdoch biographer, Michael Wolff, to discuss all this and more.Unlock the full five-part mini-series The Rise and Fall of Rupert Murdoch – only with TRIP+. Members enjoy bonus episodes, ad-free listening, and early access to new shows. Start your 7-day free trial today at ⁠⁠therestispolitics.com⁠⁠  

Written & Produced by: Nicole Maslen

Video Editor: Josh Smith

Social Producer: Celine Charles

Filmed by: Charlie Rodwell

Senior Producer: Callum Hill

Artwork: Alistair Dixon
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