Unlocked iPhone 4s, needs activating, won't accept GffGaff sim

Hi, i have an unlocked iphone 4s which hasn't been activated, and a GiffGaff sim card, but the phone wont recognise the sim card, i have no options if i plug it into itunes except 'eject' and no options on the phone apart from language settings, it shows signal bars from the sim card, but no network name, any help would be much appreciated

Apparently you didn't get an iPhone that was officially unlocked, but rather one that either wasn't unlocked at all (and you were flat lied to) or that was hacked to unlock it. Restoring would have removed any such hack in most cases.
Only the carrier to whom the iPhone is locked can authorize an unlock, and most carriers will not unless you have service with them. I'd suggest you go back to the unauthorized reseller from whom you purchased this iPhone for redress, since they didn't sell you what they apparently claimed. It's quite possible, though, that you may have to chalk this up as a learning experience, swallow the loss, and buy another iPhone from an authorized source.
Just so you know, unless your old iPhone was in pieces or jailbroken, Apple would have replaced it for £119 if you had taken it to an Apple Store.
Regards.

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