Ok, thanks very much for all your help, it really is appreciated. I appear to have 2 options...
1. Prime the chipboard, buy BAL Fastflex adhesive and BAL super flexible grout. Tile directly onto the current chipboard floor and hopefully this would do the job, although no guarantee but it would not raise the floor any higher.
OR...
2. Prime the chipbaord, overboard with a 6mm tile backing board (hardiebacker or cement board), then buy BAL Fastflex adhesive and BAL super flexible grout. Again, no guarantee, but i'm getting close. One question with this method. Would the Fastflex adhesive be suitable with the hardi/cement backing board or would a cement based adhesive such as 'bal supercover rapid flex' be more suitable? I already have a 15kg bag of the rapid flex which I was prepared to discard if the fastflex would make a better job.
Rich