Lord Justice Leveson has said that the former Culture Secretary Jeremy Hunt behaved "commendably" over the BSkyB bid, and places blame on his special adviser Adam Smith.
In his report, he writes: "Mr Hunt immediately put in place robust systems to ensure the remaining stages of the bid would be handled with fairness, impartiality and transparency, all in line with his quasi-judicial obligations."
"In every respect bar one, the bid was commendably handled."
Mr Hunt was accused of getting too close to News Corporation after the company released a series of emails exchanges between its chief lobbyist Frédéric Michel and Jeremy Hunt's office.
Adam Smith later resigned over the issue.
Lord Justice Leveson says a genuinely independent and effective system of self-regulation is needed.
First snapshot of Lord Justice Leveson's Inquiry into the Culture, Practices and Ethics of the Press.
Nick Clegg sources say it is inevitable there will be differences between his response to the Leveson report and the Prime Minister's.