News Group Newspapers unlawfully engaged more than 100 private investigators on 35,000 occasions, over at least 16 years, Sherborne says.

This happened as much at The Sun as The News of the World, with the knowledge of all editors and executives "going to the very top of the company".

"What’s even worse is that in the wake of the 2006 arrest of a royal correspondent, there was an extensive conspiracy to cover up what really had been going on and who knew about it," he says.

Imogen James
Reporting from the High Court

A pin could drop here, everyone else is silent bar David Sherborne, Prince Harry’s lawyer.

Aside from that are the camera clicks and flashes as he delivers a statement on behalf of the absent Prince Harry.

It’s a strong statement, obviously filled with a lot of emotion. Today’s result is a show of “resilience” from Prince Harry and Lord Tom Watson, Sherborne says.

Sherborne continues, saying "News Group Newspapers has finally been held to account for its illegal actions and its blatant disregard for the law".

Imogen James
Reporting from the High Court

Image source, Reuters

A group of very smartly dressed lawyers have come out into the cold, clutching laptops and notepads.

Prince Harry’s lawyer, David Sherborne, begins reading a statement from the duke. They call it a “monumental” victory today, that represents a “vindication” for others who were "strong-armed" into giving up against the news group.

Imogen James
Reporting from the High Court

As the statement was read out in court, all the journalists in the overflow room looked at one another.

We leaned forward, awaiting to hear that key word of "settlement", which eventually came. We all scrambled.

Clarifying lines with one another, keyboards were being bashed. Then we heard there would be a press conference, so many of us got up and left quickly.

It's certainly not the morning we bargained for.

We're expecting to hear from Prince Harry's lawyers and the other claimant Lord Watson imminently. Stay with us.

Prince Harry will feel vindicated, but there's also a win for Sun ownerspublished at 11:04 Greenwich Mean Time

11:04 GMT

Dominic Casciani
Reporting from the High Court

This settlement is absolutely massive.

It’s the first time that NGN has admitted wrongdoing against Prince Harry, specifically involving “unlawful activities” by private investigators working for the Sun.

The statement does not explicitly admit unlawful activity by Sun journalists - but it is still a huge win for the prince. He will feel vindicated.

But there is also a win for NGN.

It has spent an incredible sum fighting claims - and now paid out to the Prince too.

But it’s avoided the worst-case scenario of a court trial leading to a possible judgement that there was a corporation-wide cover-up, implicating its leaders all the way to the top.

Earlier we reported that a source told the BBC that NGN - the Sun's owners - were "surprised" by Harry's "serious approach" to the settlement.

Now, a source from Prince Harry's team says the duke was not surprised that NGN held that view, adding "the apology provides all the insight you need".

Imogen James
Reporting from the High Court

I've just run downstairs as we got word that we will be hearing from Prince Harry's lawyer and the other claimant Lord Watson.

I'm part of a large press huddle with many cameras and smartphones at the ready.

We're eager to hear these statements, after such a shocking decision in court today to settle.

Stay tuned.

Dominic Casciani
Reporting from the High Court

Image source, PA Media

The parties tell the judge that the settlement and apology means that a parallel part of the case, concerning overarching allegations of general and widespread unlawful behaviour and an alleged cover-up by NGN chiefs, will no longer go ahead.

That means that Prince Harry has won a significant apology but the unproven allegation that there was substantial wrongdoing by the CEO Rebekah Brooks and others will no longer be tested.

Brooks was cleared of criminal wrongdoing in 2014 ad NGN has always maintained there was no cover-up as the police investigated the News of the World in 2011.

As a reminder, Harry previously said he wasn't willing to settle and wanted to test the claims in court.

Now, a source tells BBC News that NGN - the publishers of The Sun - were "surprised by the serious approach by Prince Harry for settlement in recent days".

Imogen James
Reporting from the High Court

Mr Justice Fancourt says he thanks them for this update, and vacates the trial, awaiting further updates from the parties.

There will be no further attendance, he adds.

He is then thanked by David Sherborne for the "care and attention" he has given this case.

Mr Justice Fancourt addresses the press, apologises for the waiting around we had to do yesterday and the lack of clarity.

NGN offers a full and unequivocal apology to the Duke of Sussex for the serious intrusion by The Sun between 1996 and 2011 into his private life, including incidents of unlawful activities carried out by private investigators working for The Sun.

NGN also offers a full and unequivocal apology to the Duke of Sussex for the phone hacking, surveillance and misuse of private information by journalists and private investigators instructed by them at the News of the World.

NGN further apologises to the Duke for the impact on him of the extensive coverage and serious intrusion into his private life as well as the private life of Diana, Princess of Wales, his late mother, in particular during his younger years.

We acknowledge and apologise for the distress caused to the Duke, and the damage inflicted on relationships, friendships and family, and have agreed to pay him substantial damages. It is also acknowledged, without any admission of illegality, that NGN's response to the 2006 arrests and subsequent actions were regrettable.

NGN also offers a full and unequivocal apology to Lord Watson for the unwarranted intrusion carried out into his private life during his time in Government by the News of the World during the period 2009- 2011.

This includes him being placed under surveillance in 2009 by journalists at the News of the World and those instructed by them. NGN also acknowledges and apologises for the adverse impact this had on Lord Watson's family and has agreed to pay him substantial damages.

In addition, in 2011 News International received information that information was being passed covertly to Lord Watson from within News International. We now understand that this information was false, and Lord Watson was not in receipt of any such confidential information. NGN apologises fully and unequivocally for this.

Imogen James
Reporting from the High Court

After reading out an apology to Prince Harry, the claimant's lawyer David Sherborne also reads out a further apology to Lord Watson from NGN.

They say a similar statement, and apologise for the phone hacking and the impact it has had on him.

Sean Coughlan
Royal correspondent

The settlement is a hugely dramatic turnaround. After yesterday’s delay it became apparent that negotiations on a deal were taking place between Prince Harry’s team and News Group Newspapers.

It seems a sharp change from Prince Harry’s previous position that it was about “accountability”, as he prepared to have his day in court and his lawyers were ready to blast a broadside of claims about tabloid intrusion and corporate cover-ups.

Now there is an agreement – and if not a handshake, both of the previously warring sides have accepted a deal.

It might have been an offer from NGN that became impossible to refuse, not least because of the cost implications. Civil law pushes opposing sides towards a settlement, as the 'winner' could end up paying for the costs of their opponent if the damages awarded are less than they were already offered.

For NGN, having spent £1bn on previous out-of-court settlements, almost any extra cost to stay out of court must have seemed worth it.

But after such a big build up, this legal showdown is over before it began.

Imogen James
Reporting from the High Court

News Group Newspapers issues an apology to Prince Harry, being read by his lawyer David Sherborne, of the "serious intrusion by the Sun into his private life... including incidents of unlawful activities carried out by private investigators working for The Sun."

They also apologise for phone hacking, and the impact this had on him as well as the impact of the "extensive coverage and serious intrusion on his private life", including the coverage of his late mother, Princess Diana.

They apologise for the impact this has had on his relationships and friendships.

They have agreed to pay substantial damages, the statement adds.

That "concludes the case", David Sherborne says.

There is a flurry of activity in the High Court as details about an apology and agreement between the Sun's publishers and Prince Harry, stay with us.

Dominic Casciani
Reporting from the High Court

News Group apologises to Prince Harry for unlawful intrusions into his private life.

Dominic Casciani
Reporting from the High Court

Barristers are robed up and the judge, from behind his door, is clearly itching to get going as his clerk keeps peeking back into the room to see if everyone has sorted themselves out.

There are nods and discussions between David Sherborne for Prince Harry and Anthony Hudson KC for NGN.

That’s not something we have seen often in this rather bitter fight. Roddy Chisholm Batten, the prince’s solicitor, is also now in court.

There are some smiles and a lot of intent reading of something on a laptop screen.

There are a number of people involved in this case, so here are some of the key names to know:

Mr Justice Fancourt: The judge hearing the case

Anthony Hudson KC: Lawyer representing News Group Newspapers

Clare Montgomery KC: Lawyer representing News Group Newspapers

David Sherborne: The lawyer for Prince Harry and Lord Watson

The Duke Of Sussex Prince Harry: One of two claimants against NGN and senior royal family member

Lord Tom Watson: The other claimant, and former deputy Labour leader