I have partly answered my own problem.
Firstly I have been doing some looking around and found lots of websites using IOFM.NET webspace still working.
So I tried signing up again with a slightly different user name. Success. I now have my website uploaded and working again. Trouble is of course new user name = new website URL, so although this works it is not an ideal solution, but it's better than nothing.
I still want to find out why it stopped working. My old user name still works for dial up ISP access, and email, it's just the webspace that doesn't work any more. Was my account suspended? did I breach the T&C? I don't know, but you would have thought if that was the case they would let me know.
Trouble is I can't get any response from IOFM.NET. If you try their "technical helpline" it is in fact a company called Enta Net who they must subcontract their hosting to. I have tried 4 times, and each time they agree my website is not working, but can't do anything. They say they will look into it and phone me, but never do.
I have tried submitting a request to IOFM.NET using the online form, but three requests now have gone unanswered.
I guess it's a question of you are getting something for free, so don't expect any support when it goes wrong?
Anyone know a propper contact email, phone or snail mail address for IOFM.NET so I can try and get my original account restored?