News of the World is to publish its final edition this Sunday (July 10th) in the wake of fresh phone hacking allegations that have rocked the newspaper this week.

The newspaper, which had a circulation of more than 2.6 million and a cover price of £1, brought in around £64 million ad revenue last year, according to Nielsen.

The closure comes as scores of big-name advertisers pulled the plug on planned advertisements in this week’s edition. Halifax, Ford, Butlin’s and Orange were among the brands which withdrew ads from the newspaper.

News of the World’s publisher News International issued a statement this afternoon, confirming news of the closure.

Deputy Chief Operating Officer James Murdoch said the phone hacking had “sullied” the newspaper.

“The News of the World is in the business of holding others to account. But it failed when it came to itself,” he commented.

Allegations of phone hacking at the News of the World first arose in 2006, when it was claimed private investigators had accessed voicemail messages left for members of The Royal Family. Royal editor Clive Goodman was subsequently sent to jail after pleading guilty to intercepting the messages.

The media storm over hacking came up again this year, with reports the families of child murder victims Milly Dowler, Holly Wells, Jessica Chapman and Sarah Payne had also been hacked. The family of servicemen are also believed to have been compromised in a list thought to include thousands of names, including celebrities and public figures. Apparent bribes to police also badly damaged the newspaper's reputation.

As wave after wave of claims of hacking emerged in recent days, it appears the title’s position became untenable - leading News International to pull the plug and end 168 years of journalism history.