3,500 people across the state of New South Wales are subject to evacuation orders with three quarters of the state affected by the high water levels.
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After the heatwave come the storms, with lightning flashes illuminating the night sky across much of the country last night.
An Independence Day event at a UK base has been cancelled by the US Air Force over security fears.
British firms predict the economy should sustain a "solid" pace of growth for the rest of the year thanks to lower oil prices and inflation.