I did some digging around in google and found the solution.
I created a shader (Blinn) and applied this to faces of the UV set (mapped prior) and then via Hypershade created a file node (UV snapshot painted in Photoshop) and linked it to the Blinn shader via the colour channel.
I then opened the Relationship editor > UV set editing window and linked the UV set to the texture under the Blinn shader and the texture appeared on the model.
Thanks guys for all your help.
You might be a school teacher or a street sweeper but sooner or later you'll dance with the reaper.