HH5 Flashing Red light issues

hello,
experiencing strange issues with a BT Infinity 2 circuit at my property. 
Symptoms:
* 3 days ago the original HH5 dropped the broadband connection - it changed to an orange light with flashing red broadband symbol. No dial tone when the RJ11 is plugged into the SSFP Infinity socket but dial tone returns as soon as RJ11 unplugged. 
* reported to BT and after typical troubleshooting they decided to send a replacement HH5 out
* whilst waiting for this I borrowed a Draytek 2850 from work and decided to test on the circuit - bizarrely this was able to connect to BT Infinity (albeit at around 45581 Kbps instead of 75000 Kbps i was getting last week) and dial tone present on phone
* replacement HH5 arrived today, plugged in and exactly the same symptoms as original HH5
any ideas what could be going on?
thanks
Michael

Does your phone work if just conencted to test socket with filter?  Try quiet line test. Dial 17070 option 2 should be quiet and best with corded phone
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