Solving the Orange UK Android hotspot internet connection problem

UPDATE 07/11/11: I can now confirm that this solution definitely works with both the HTC Desire (original) and the new HTC Sensation on the Orange UK network.
One of the things I was most looking forward to with the Android 2.2 update was the ability to create a wi-fi hotspot using your phone, or tethering as it’s more commonly known. Extremely handy when travelling on trains in the UK as very few of them have broadband facilities available. So it was one of the first features that I tried out after my phone upgraded itself, but was immediately disappointed to find that although my laptop connected to the hotspot easily, there was no internet connection available.
I searched long and hard for a solution to this and it soon became immediately apparent that this is an issue specifically for HTC phones on the UK Orange network.
Luckily the solution is easy, but don’t be surprised if you have to repeat the following steps after each Orange update – annoyingly it does occasionally reset to the default settings. This should get you up and running though…(in theory!)…
