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There are many plain text editors for iOS, including the one that comes with the OS, called Notes. I wonder why you're not using that Tom?
Simplenote is free and ads-free on iOS. I used to use it a lot, but since it changed to a "clean" iOS7 look I have taken a dislike to it. One good thing about Simplenote is that it's a cloud service, so you can access and edit your notes from anywhere using a web interface (with non-intrusive ads, last time I looked).
I currently use Drafts, which is a bit expensive for an iOS app, but I like it. It's mostly meant as a "drafts central" where you can type your texts and then send them to the clipboard or to various apps or cloud services. Probably not what you want...
I also used ActionNotes for some time, mainly because I liked the look of the interface. I abandoned it when I decided that plain text notes were not enough for me to manage my work notes.
Another app I liked but abandoned in the end is Notebooks. It can manage both formatted and plain text, and I liked the interface for typing plain text. However the rest of the interface is a bit clumsy, which is why I gave up on it ultimately.
Currently my preferred notes app is Evernote, but I don't think it would correspond to your requirements.
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