David Cameron has insisted that there was no "grand deal" between himself and the Murdochs to wave through News Corporation's takeover of BSkyB.
The Prime Minister admitted that some of his contacts with Rupert Murdoch's media empire were embarrassing and that he might have done things differently.
But he maintained it was "not true" there was any agreement that in return for the Murdochs' support of the Government he would help their business interests or allow the BSkyB merger to go through.
"It would be absolutely wrong for there to be any sort of deal and there wasn't he told BBC1's Andrew Marr Show.
"There was no grand deal."
The Prime Minister offered qualified support for his under-fire Culture Secretary Jeremy Hunt, who is facing calls for his resignation over his handling of the BSkyB deal.
"As things stand, I don't believe Jeremy Hunt broke the ministerial code," Mr Cameron said.
The Prime Minister admitted discussing matters with Mr Murdoch's son and top News Corp executive James Murdoch at a Christmas party at the Oxfordshire home of then News International chief executive Rebekah Brooks.
Asked whether he was embarrassed that he was even at the party, Mr Cameron said: "Clearly, after all that's been written and said about it, yes of course one might do things differently."
Mr Cameron said he did not recall the exact details of his conversation with Mr Murdoch but that it concerned the recent controversy over Business Secretary Vince Cable's comments that he had "declared war" on News Corporation.