A car bomb that destroyed a Baghdad restaurant crowded with New Year’s Eve revellers killed eight people and wounded 35 including one Briton and two Americans, the US military said today.

A car bomb ripped through an elegant Baghdad restaurant crowded with diners at a New Year’s Eve party killing five Iraqis and wounding 35 others, including at least one Briton and two Americans.

A large explosion ripped through a restaurant in central Baghdad on New Year’s Eve, killing five people, the city police chief said.