Think I have solved the problem
I have change the following code and would like an opinion or Confirmation of this hack / fix would be appreciated.
Opened checkout_form.php in plugins folder
Changed lines 154 and 167
$countryparam_Regions = "US"; to $countryparam_Regions = "GB";
$countryparam_ShipRegions = "US"; to $countryparam_ShipRegions = "GB";