I have had the same problem, I have been trading with a shop for 2 years using euroconnex as the merchant and decided to start trading online. I have put in a massive amount of work into the site and first applied for a merchant account in feb 2007. In june they got back to me saying that they have re branded and I had to fill out the same forms with different logos on the top and provide more household bills ect so again I did in July. I have been really hassling them over the last few weeks to get it sorted. I was supposed to be going live next week and after 2 emails this week that I got no responce to I rang today to be told that the application was refused!! They wouldn't even give me a reason why, they just said the business model doesn't suit them!! (I sell fitness and gym equipment??)
They have wasted my time and my bank manager has said to me he has had terrible trouble with them over the past few months since BOI themselves sold the company. It looks like I will be moving banks and I would advise to stay well clear.