Thanks for advice, yes did update to windows xp sp2:

Tried configuring firewalls, forcing IP, my test page was a success and I have downloaded the java program but still won't work. I have also tried not letting limewire automatically connect at the startup and then connecting later on but that didn't work

Haven't tried to connect from home as we have dial up and its pretty poor even for surfing the web.

Is it now a case of deleting the windows update or do you have any other ideas?