Until tea, the third day had been gripping and competitive after England's abject performances in the previous three matches of the series, with five wickets for Darren Gough the highlight.

BBC News 24's Mike Bushell reports on the third days play

The home side went into the break with just two wickets standing and still 18 short of England's first innings total.

But by the close they had already taken two of England's second innings wickets and were still five runs ahead.

They achieved their position with another late order partnership, led by an unbeaten 122 from Steve Waugh, and two early breakthroughs in England's innings.

Mike Atherton completed a pair when he was bowled by Damien Fleming and Mark Butcher fell victim to one of the most extraordinary catches seen in 121 years of Ashes cricket.

Darren Gough (right): Five wickets included 50th Ashes wicket

Former skipper Atherton had already survived a strong lbw appeal, as he and Alec Stewart faced a first innings deficit of 70.

Mark Butcher then avoided following Atherton with a second England pair and played a fine supporting role to Stewart

But there was little he could do to avoid being caught by Michael Slater off Stuart MacGill when on 14.

He hit the ball hard enough for many in the crowd to be looking towards the leg-side boundary, but they had reckoned without Slater standing at short leg.

Pat Murphy: "A marvellous red blooded day" (BBC Radio 5 Live)

The Australian opener was lucky not to have been winded as the ball caught him full in the stomach, but somehow he also managed to cling on to the ball and jump up in delight.

Butcher simply could not believe his luck - and nor could the Australian fielders.

England were facing a first innings deficit after another late order partnership from the Australians, led by Waugh.'s 17th Test hundred.

But it was MacGill who actually scored the lion's share of the runs in the duo's partnership, scoring 43 out of the 83 they put on.

As ever Waugh played the part of the stylish middle order batsman, passing two landmarks during the innings - Don Bradman's career total in Tests and his own 7,000th Test run.

Meanwhile the leg-spinner's contribution was more irritating to England as he played in an unorthodox fashion which delighted the crowd almost as much as Waugh's efforts.

Alec Stewart took the new ball in an attempt to get rid of the pair, but the harder ball seemed only to encourage the batsmen.

Eventually he turned to part-time spinner Mark Ramprakash, who only had to bowl one over before Alan Mullally eventually had MacGill caught behind.

And thankfully for England, Glenn McGrath was dismissed after just two balls, fending off a short delivery which bounced down and underneath his legs before hitting the stumps.

Fraser celebrates one of his two wickets

But the session had already turned a previously tight match in the Australians' favour as England's failure to remove tail-end batsmen was again exposed.

"The crucial thing is that we've won most of the big moments in the games. I think we can sense those pretty well because we've been around for a long while.

"The average age of the side is around 30 and we know when we really need to take a wicket or need a partnership," said Waugh.

Earlier Gough had been England's hero, as he finally put behind him the bad luck of the series to take five wickets.

Darren Gough talks BBC Radio 5 Live

"Everyone said I have been bowling well during the series and when we came to the ground today there was only one seat left in the dressing room and that was number 13," Gough revealed.

"Stewie (Alec Stewart) told me to sit there and see if it would change my luck and now I've got a five-for I think I'll stick with it."

He was supported by Angus Fraser, who marked his return to the side with two crucial wickets of Mark Waugh and Ian Healy, and Mullally who ended with three victims.

England second innings

M Atherton b Fleming 0
A Stewart not out 43
M Butcher c Slater b MacGill 14
D Headley not out 0

Extras 8

Total 65 for 2 (22 overs)

To bat: N Hussain, M Ramprakash, G Hick, D Gough, W Hegg, A Fraser, A Mullally

Fall: 1-5, 2-61

Bowling: McGrath 6-1-26-0, Fleming 6-2-12-1, Nicholson 4-0-11-0, MacGill 5-0-14-1, Waugh 1-1-0-0

Australia first innings

Overnight 59-2

M Taylor c Hick b Gough 7
M Slater lbw b Gough 1
J Langer c Hussain b Gough 44
M Waugh lbw b Fraser 36
S Waugh not out 120
D Lehmann c Hegg b Gough 13
I Healy c Headley b Fraser 36
D Fleming c Hick b Mullally 12
M Nicholson b Gough 5
S MacGill c Hegg b Mullally 43
G McGrath b Mullally 0

Extras 21

Total 340 all out (98.3 overs)

Fall: 1-13, 2-26, 3-98, 4-127, 5-151, 6-209, 7-235, 8-252, 9-340

Bowling: Gough 28-7-96-5, Headley 25-3-86-0, Mullally 21.3-5-64-3, Ramprakash 2-0-6-0, Fraser 22-0-78-2

England first innings (day two)

M Atherton c Healy b McGrath 0
A Stewart b MacGill 107
M Butcher c Langer b McGrath 0
N Hussain c Healy b Nicholson 19
M Ramprakash c McGrath b S Waugh 63
G Hick c Fleming b MacGill 39
W Hegg c Healy b S Waugh 3
D Headley c Taylor b McGrath 14
D Gough b MacGill 11
A Fraser not out 0
A Mullally lbw b MacGill 0

Extras 14

Total 270 all out (76 overs)

Fall: 1-0, 2-4, 3-81, 4-200, 5-202, 6-206, 7-244, 8-266, 9-270

Bowling: McGrath 22-5-64-3, Fleming 19-3-71-0 Nicholson 10-0-59-1, MacGill 19-2-61-4, S Waugh 6-2-8-2

Australia won toss and decided to field