Mac Book Pro won't sync iCal with iCloud

Hi
I'm running a Mac Book Pro (10.7.1) an iPad 2 and an iPhone 4. Both of the latter devices have been updated to IOS 5.
I'm a long standing MobileMe customer and I've been switching to iCloud today.
Generally things have gone smoothly. iCal was transferred from MbMe to iCloud without a hitch. Both the iPad and the iPhone were easy enough to switch across. And having done some tests now whenever the iCloud calendar  is updated it appears on the portables and vica-versa.
However - iCal on the MBP isn't happy.
When I open it a pop-up appears saying "iCal can't log in to your "*****@me.com" account because your password may be incorrect". There's a button that then invites me to go to "MobileMe prefs" to address the issue. I do this. And several times I've signed out and signed back in using the correct user name and password.
The Account Status says " Your MobileMe account has been upgraded to iCloud". So, it seems that the password isn't an issue. However, iCal keeps telling me it is.
(Also, have just tried creating a new address on the MBP and another on the iPad - iCloud instantly reflected the latter but not the former. ie. it seems that the MBP isn't syncing to the cloud at all).
Any help/suggestions gratefully received.
(also, for your ref. I run Little Snitch - but I'm pretty sure it's not blocking anything)
Thanks
Ewan

Little Snitch...  that is most likely the problem.
Nothing positive... LS has caused many a Mac user headaches.
Results from a  Little Snitch (ASC) forum search here.

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