Waugh was commenting after playing four rounds with Australian golfer Nick O'Hern in the Dunhill Links Championship here on Sunday.

Playing off a handicap of eight, Waugh joined England Ashes-winning trio Michael Vaughan, Paul Collingwood and Andrew Strauss, and former great Ian Botham as the only cricketers in the 5 million dollar pro-amateur tournament which features numerous stars of stage and sport.

Waugh showed his golfing prowess by contributing to more than a dozen net birdies over the four days on the Old Course.

The event was won by Scotland's Colin Montgomerie. The O'Hern and Waugh pairing finished tied for 12th.

Before flying home to Sydney, Waugh sounded a warning to England cricketing fans.

"When you are in a two-way contest someone has to win and someone has to lose, and it's just that England outplayed Australia," he said.

"I don't believe for a moment Australia are on the wane.

"It's just that they didn't play as well as they had liked and the next six months will be a real challenge to see how Australia copes following this recent series.

"But I wouldn't write Australia off just yet.

"And for England to judge itself as a great team they have to win both home and away against every side and that is something England must set themselves the task to achieve.

"At the moment they are pretty entitled to say they are, at least, close to being the No 1 cricketing nation, if not No 1.

"Of course, both sides will be a lot different but if England do beat Australia on Australian soil then they will be entitled to say they have got one over Australia, but it will be a tough ask."

Waugh, who captained Australia to 41 Test wins in 57 matches, admitted he expected bigger victory celebrations than those that took place in London the day after England claimed the Ashes at The Oval.

"It was a great series for cricket in general and whilst the celebrations were big, I actually was expecting more because they have waited so long, and besides they have been so gracious in the past," he said.

"They are entitled to gloat as they have waited for so long to have their moment in the sun."