Thanks colb. I do have the OBD adapter cable although I haven't used it yet. I've got a bluetooth OBD2 dongle that I use with Bimmerlink & Bimmercode for my 5er, I was optimistically hoping I could use that for code reading, I just haven't got around to giving it a bash yet. If it doesn't work I'll look into the Creator.Looking good with the clean up, all your other jobs are spanner work but hope you have a decent Code Reader and a 20pin to 16pin cable changer lead to plug into the engine bay diagnostic socket, you are going to need it to chase down the exhaust gas problem. I use a Creator 310+ handheld scanner on my 1999 1.9 and my 2003 2.5 Z4. Also have computer based software BMW INPA and its sister software. Also use BMW Scanner 1.4 on the Laptop which is a good beginners choice as its so easy to install and use on a laptop.
All the diagnostics stuff available on ebay and Amazon the Creator is circa £50 on ebay, you will save that first time you use it rather than paying a garage to code read it.
Keep us updated on your progress.
I was doing a bit of research last night on the emissions failure, I got my Miss Marple on and found that the MOT station that failed it on emissions was less than 200yds from the previous owner's address. So I wonder (hope!) it was just a case of not having a good run before it was tested. The garage I'll use for my MOT is a good 40 min drive away including a blast on a dual carriage way, so I'll give it a really good run before the test, and throw a bottle of redex in the tank before hand too