Phone Hacking: Andy Gray Settles For £20,000

Former Sky Sports football pundit Andy Gray has accepted £20,000 in damages after his phone was hacked.

Sky News City editor Mark Kleinman broke the story after he learned that News International (NI), publisher of the News of the World (NotW), had agreed to pay the sum to settle the case.

In a statement, the company confirmed the deal would cover "damages plus undisclosed costs".

"This concludes the action Andy Gray was taking over voicemail interception in relation to the News of the World."

Kleinman said he understood NI would cover Gray's legal costs.

"It will be the second hacking case that NI has settled in as many months," Kleinman said.

"[It] reflects the company's ongoing efforts to draw a line under an episode which has damaged its reputation.

"The settlement with Gray follows the decision last month by News Group Newspapers - the NI subsidiary which publishes the NotW and its daily sister title, The Sun - to pay Sienna Miller £100,000 in damages ."

Gray's lawyers said he was "pleased" with the agreement after fighting "tooth and nail" to prove he had been a victim of phone hacking.

John Kelly, a partner at Schillings, said: "The News of the World finally threw in the towel in April when it admitted liability for the unlawful interception of Andy's voicemail.

"The News of the World has since that time apologised to Andy and other victims, has agreed that it won't target Andy in this way again and has now agreed to pay Andy substantial damages and his legal costs."

Gray was sacked by Sky Sports in January after sexist comments he made off-air were made public.

His colleague Richard Keys quit soon after and the pair are now presenters on talkSPORT .

NI has apologised over the phone hacking scandal and set aside £20m to settle claims.

Gray's case, along with that of actor Jude Law, had been picked as test cases to establish the level of damages for other claimants.

Scotland Yard has been repeatedly criticised for its handling of the original hacking inquiry, which led to the convictions of the tabloid's royal correspondent and private investigator Glenn Mulcaire in 2007.