Fans nurse World Cup hangover

A delighted Paul Gascoigne celebrates with fans

England is recovering from a night of wild celebrations following the national football team's dramatic 1-0 defeat of Argentina in the World Cup.

The nation was glued to television screens on Friday lunchtime and saw a David Beckham penalty settle the game in Sapporo, Japan.

Roars of celebration rang out in factories and offices across the country as the final whistle blew.

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And a spontaneous carnival followed across the country, lasting well into the night.

England v Argentina facts

20% of the workforce took day off

£12m placed in bets

Seven out of 10 employers allowed staff to watch match at work

Up to £1.3bn lost in productivity

It was estimated that one-in-five of England's 25 million-strong workforce took the day off to watch the game.

And a further 2.5 million more are thought to have taken a "sickie", resulting in an eerie quiet on England's streets on Friday, shattered by the parties after the game.

There were nail-biting final moments in a game screened in an estimated 70% of workplaces.

But at the end, fans hugged each other and screamed in relief.

Police in Manchester had to close one city centre road after more than 3,000 celebrating fans flocked to Exchange Square, where the BBC had erected a big screen to show the game.

Noel, 29, who watched the game nearby at Bar 10, said: "It was an absolutely fantastic performance.

Country proud

"Four years of pain have been wiped out, four years of payback for all the pain and the damage."

Around the country, fans poured out of restaurants and pubs, cheering and waving, as motorists honked their horns.

Prime Minister Tony Blair watched the match at Chequers and a Downing Street spokesman said: "He is thrilled with the result and thinks the team fully deserved their win.

Beckham's goal sent fans delirious with joy

"They showed skill, guts and commitment from beginning to end and he is really pleased for Sven and the whole squad."

The Queen was kept in touch about the score during royal engagements, while Prince William and his brother Prince Harry watched from home at Highgrove, Gloucestershire.

The Prince of Wales, told the result when he arrived at the Isles of Scilly, said: "Oh did they? I'm so glad. That's wonderful."

Conservative leader Iain Duncan Smith said: "Our country is proud of them."

In Newcastle, hundreds of fans braved pouring rain to cheer on their heroes on a big screen at the International Centre for Life.

Supporters, many wearing plastic bags on their heads, danced around and embraced strangers.

In Scotland, Glasgow's Argentinian restaurant, Gaucho Grill, was booked out by people watching the game on TV.

Lost productivity

Assistant manager Susan Robertson said: "There was definitely a groan when the goal went in, but I think everyone has enjoyed the game and the food."

The football dominated the racecourses

In the US, New Yorkers were left bemused as England fans poured out of early morning bars, singing: "There's only one David Beckham".

The match could have cost the nation £1.3bn in lost productivity, experts estimate.

The London Chamber of Commerce said firms in the capital reported a lower staff turnout than for a normal Friday, and the AA said the roads were noticeably quieter.

The bookies expect some £12m was wagered in bets in England's vital World Cup showdown.

British police working in Japan and Korea are expecting more English fans to head out there, should England qualify for the next round.

There were no reports of fighting overnight.

A total of 12 fans have been arrested since arriving, but only one for an alleged violent offence.

In the UK on Friday night there were only a few isolated reports of violence.

Seven people were arrested in Hull after a crowd of 200 people threw coins and stones at police.

Trouble also flared in parts of Hampshire, including a 45-strong brawl in Havant, which led to five arrests and minor injuries to police officers.