The Apprentice boss and Labour peer Lord Sugar has called for newspaper editors and proprietors to face prison sentences over the phone hacking scandal.

Speaking in the House of Lords, he said that editors were responsible for what appeared in their newspapers and it was "ludicrous" to suggest they would not know whether hacking had taken place.

Scotland Yard is investigating multiple claims that staff at the News of the World, which is owned by Rupert Murdoch's News International, hacked into the answer phone messages of celebrities and politicians.