woo fixed it.
Basically this is a common problem from what ive read.
Due to some ludicrous goings on between ati and laptop manufacturers. Apparently ATI is under orders from people like dell not to package there mobility drivers for dell laptops etc... which is why i could not install the latest drivers off the ATI site. Instead im supposed to go and get dells drivers... which obviously dont work!.
So the solution was to use a program called Ati mobility modder which modifies the latest CCC drivers so that they can be installed on laptops. These new drivers now work with scaling
Big thanks to dell and ati for this..