In this paper, we present a spatial domain Image hiding scheme that embeds secret data in a gray-level image. Our scheme is inspired from Wu and Tsai's scheme that embeds secret bits in the difference values of consecutive pixels. To improve the hiding capacity of their scheme, the overlapping concept is proposed to produce more difference values from the cover image in this paper. Experimental results show that our scheme provides an average hiding capacity gain of 84.16% over Wu and Tsai's scheme while maintaining satisfactory image quality