The idea that the voicemails of young royals were being monitored by MI5 would have been "shocking" and "extremely newsworthy", Andy Coulson told the hacking trial yesterday.

The former News of the World editor denied that he ever heard the suggestion after royal editor Clive Goodman and private investigator Glenn Mulcaire were arrested for hacking.

The ex-No 10 spin doctor was being quizzed about an email News of the World managing editor Stuart Kuttner wrote about a conversation he had with Goodman following his release from custody on August 10, 2006.