I'm 99% sure it is only the restore file that is affected as I have done numerous scans with McAfee in windows and through the cmd prompt and also using housecall online. None of them can find it. I'd be just sitting there doing whatever and all of a sudden it pops up.
If you look at the McAfee pop up it says that it is being denied access to the file, so I asume windows is doing it's restore McAfee is seeing it but being denied access as it's a restore file.
I've purged all the previous restore points and so far so good, if it happens again I'll let you know for sure.
Thanks all much appreciated.