My digital camera is taking blurry pictures; is it dead

[KatyMac]

Or can it be fixed?

Have you checked it is in the right mode? You can get different modes for action/low light shots which affect the exposure time and therefore blurryness of a photo.

Also, I may be stating the blindingly obvious, but have you tried cleaning the lens?

I cleaned the lens with a cotton bud

I changed the Mega pixels from 7 to 6 & it seems better (somehow) initially but then it got worse again

Time for a new one by the sounds of it , if its changing from being ok to blurry with out changing the settings then theres probably something seriously wrong with it.

Dip the cotton bud in vodka just to make sure.

then buy a new one Panasonic are great.

I reset it to 7 & it seems OK