Thanks for the info Diavonex but I have re-tried restoring from itunes but the problem persists. Itunes tells me ipad is starting up then proceeds to recognise it and presents the screens as shown above but still the Ipad screen is unresponsive (greyed out). I am starting to think this is a hardware issue - perhaps next stop is Apple retail store for advise.
One other glimmer of hope I was informed about was possibly restoring to an earlier IOS version - not sure what difference this would make so if you have advice on this would be grateful to have your opinion.
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