Thank you for your replies Bruno and Dutch_Master. I have tried other distributions however they were all from the LXF DVD which has Fedora 17 (Gnome), Mageia, Mint Cinnamon, OpenSUSE, PCLinuxOS, and a few others, so as there is so many I would imagine that each one is equivalent to the standard live cd of that distro? So I will try the DVD version this weekend and let you know how it goes. If that still doesn't work then I will try a core distro like Debian or maybe Arch, as I can build that from scratch, but only if I'm feeling adventurous / can remember what to do lol
What's really weird is that the splash screens appear to be fine, there is no pixelation at all.
Thank you again for your replies, I really appreciate it.