First Minister Peter Robinson has threatened to resign over more than 180 secret letters sent to republican paramilitary suspects.
The DUP leader had made his resignation threat after the trial of Donegal man John Downey collapsed.
Mr Downey denied killing four soldiers in the 1982 IRA Hyde Park bombing.
Mr Robinson has called for letters to those On the Run, which give assurances to the suspects that they are not being sought by police, to be rescinded. He has also called for a judicial inquiry.
Mr Cameron told a press conference: "I agree with the first minister of Northern Ireland that after the terrible error of the Downey case it is right to get to the bottom of what happened.
"The case has already been referred to the Police Ombudsman, and as the first minister has said we should have a full independent examination of the whole operation of this scheme.
"We will appoint an independent judge to produce a full public account of the operation of this administrative scheme to determine whether any other letters were sent in error.
"The judge will have full access to government files and to government officials."
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