cheers for the info Urban.
I contacted Kobo again after the reset failed and they've told me it needs to be returned to them for repair or replacement but they haven't given me details of how or where yet. As I'm here in the UK I'm going to go down the route of contacting WHSmiths where I bought the device from as they're the one's I have the contract with. I thought I'd bought it just after Christmas last year but I had got it in March so it's well within warranty. I don't have the original receipt but I do have a copy of my credit card statement which shows the purchase. I'm hoping that WHSmith will send it back for me to save me the postage. If they wont then hopefully my credit card issuer will be helpful as it cost over £100. My friend is also having issues with her Kobo (which is less than 6 months old) It's interesting that so many people can have so many problems with the same device.
If I get mine repaired or replaced I'll most likely flog it on as I bought a Nexus 7 at the weekend. So far so good - the Nexus does what I want it to do but much faster and better than the Kobo