OK, so I was too impatient to wait for an answer so I went with a standard restore.DFU restore since it wont launch iBoot. It will do a very clean install on your phone.
I don't think it has worked, as my iphone dropped from 100% to 96% in under 10 minutes, just playing around with the settings.
I then turned the iphone off and back on, and it showed 100%???
Really think I've got a lemon here, as my first iphone had great battery (wish I'd kept it - returned it because of cosmetic issues that seem insignificant to crap battery!). I remember setting this phone up, and the first thing I thought was how quickly the battery depleted just doing basic stuff.
My network provider (Orange) have been totally unhelpful, so I've booked an appointment with apple tomorrow. Obviously this is a brand new handset so I'm looking for a new, not a referb, replacement. Is this likely to happen?