I found the answer from Troy didn't work. This is the same code reworked for ajax:
$.ajax({
url: 'data.php',
dataType: 'json',
success: function(data)
{
// Put the data onto the page
// Resize the iframe
var iframe = $(window.top.document).find("#iframe");
iframe.height( iframe[0].contentDocument.body.scrollHeight+'px' );
}
});