same boat
I got KB'd from CTC at phase 3 in August some time. In my feed back I was told they definetley wouldn't want to see me before I finished my degree.
It sounded like they really meant they'd never want to see me again at all but all you can do is prove them wrong.
Not exactly the same situation as yours but I remember Lee saying that most folk 2 chances at each stage. I don't which bit you failed at but I would think that you might be able to try again after a year or 2. That said they are strict at CTC which is why they're held in high regard. Basically I don't really know!
I was told to email when I've finished at uni ("..with a bloody good grade..") and we could have a chat about why I think I'm suited to it.
If they told you where you went wrong then could try and do some things over the next couple of years to rectify it and see what they say. Its sounds a long time to wait, and it is. But there's nothing to stop you applying for sponsorships in the mean time, or trying to save for oat/ccat etc. Easier said than done though!
G