Thanks and sorry for being thick but can I please check some things...
1. type your text
I am starting with a blue background like the link in my first post - is that ok? So black text on a blue background?
2. alpha select the text layer: right click on that layer then select "alpha to selection"
3. grow the selection by one: select>grow
4. add a new layer
5. fill with white
6. guassian blur by about eight
you mean blur the white filled layer?
7. move the layer down
move the white filled layer down to one below the text layer?
so I should have 3 layers - bottom = original blue filled background; middle = white filled layer with blur; top = text layer?