Yeah! Ive now got everything to work and after 2 months all I had to do was change two values!
Herethere is an example of what the .asoundrc file should contain.
This was fine except that I had it pointing at the on board sound card instead of the external USB one.
To fix this go to the console and type in "aplay -l" which will list all available sound cards starting with card 0.
In my case card 0 was my on board sound card and card 1 was the usb audio device. Yours may be a different number depending on how many active sound cards there are and which order they get loaded in.
Now open asound.rc and copy the example from the wiki into it.
Next, take your number and go down until you find:
and change it to
where X is the number for your card
and then again change
to
Restart and you should now enjoy fully mixed audio, surround sound and duplication of stereo audio to surround.