boomba - thanks for letting me know! We don't get moogoo in stores over here, but I went to their website and might order some... I've always wanted to try it.

Sarah & crystalboo- thanks for the info about canestin - anything I can use with the MCN would be greatly appreciated - and the canesting rince sounds good.

Alioops - thanks for the tip about water soluble things - the one the dr recommended is not water soluble so I've been using sposies can't wait till she has her fluffy bum back!

So far the rash is slowly going away. Grace has had nappy free time with her bum in the sunlight coming into our lounge room which she loves (a tip from my mum) We're also still using the medicated cream and Grace had a bath with bicarb soda in it and it has really made a difference. Fingers crossed that she'll be all clear in the next few days.

Thanks again for everyones help!