I've done a bit more digging and find that this seems to be a common problem for some people with Amazon.co.uk accounts. Strangely Cloud Reader still shows the books I got from Amazon up to a few months ago but not the ones I have added since then. As I haven't used the Cloud Reader for several weeks I hadn't noticed the problem before now. I can download, open and read these books including books I had deleted from account since then.
Also I installed Kindle for PC (under Wine in Linux) and it runs perfectly but it has exactly the same problem as the Cloud Reader. It does seem to be an Amazon.co.uk account issue.
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