At least ten people have been killed in a suicide bomb attack on a crowded market near the Pakistani capital, Islamabad.

The attack came a day after the Taliban killed 20 soldiers near North Waziristan.

A police spokesperson said the market, a short walk from the army headquarters in Rawalpindi, is in one of the most secure areas of the city.

The area was cordoned off by the military immediately after the blast.

Around 14 people were wounded.

A Taliban spokesman claimed responsibility for the blast on behalf of the Islamist insurgents.

A bomb planted by the Taliban ripped through a vehicle carrying Pakistani troops yesterday, killing 20 and prompting Prime Minister Nawaz Sharif to cancel his trip to the World Economic Forum in the Swiss resort of Davos this week.

The government is keen to pursue peace talks with the Taliban to end the insurgency, but there has been an upsurge in attacks since Mr Sharif won elections last year.