could be a network mast down in the area, contact O2 and they can advise

    Does sound like a mast down. Have you tried switching you phone off and a while (a minute or so) and then back on. It'll then search for the strongest signal it can find, which might be a closer mast than the one your on now.
    You could also try switching from 3G to GSM which needs less signal strength...

    Mast could be on reduced power, that would explain why it can't get a full signal through your wall's, but works ok outside . . .

    im on o2 and it fine for me

    02 for me and all ok ......
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