After downloading updated anti spyware from msn I ran a scan.

One new spyware was found and i removed it.

I then re started the pc as instructed.

After the re start I have lost all desk tops icons and the wallpaper I had

I now only have the default windows XP wall paper ( green hill and blue sky)

I can only use the machine by using alt+ctrl delete and use the task mananger

I had tried the F8 key during re start, this did not work

Help

Delboy

is there an un-do feature on your anti-spyware program?
if not, try a system restore
To use system restore:
Through Help and Support:
1.Click Start, and then click Help and Support.
2.Under Pick a Task, click Undo changes to your computer with System Restore.
3.Follow the instructions on the wizard.

Through the All Programs menu:
1.Click Start.
2.Point to All Programs.
3.Point to Accessories.
4.Point to System Tools.
5.Click System Restore.
6.Follow the instructions on the wizard.

Also:

http://www.kellys-korner-xp.com/xp_tweaks.htm
Line 195 (right column) "Restore Desktop Icons and Taskbar"