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I posted a comment somewhere else about O2 porting issues.
I'm surprised O2 cannot reactivate your number, as that's what they did in my partner's case. To make the story short, he lost his o2 business phone in Paris on Thursday morning. Called O2 to cancel the number and the handset and asked them to port the number to his personal SIM card. They cancelled inmediately and promise to port the number in 4 hours. It took them little over 24 hours to do that but it was sorted. In the meantime they sent a replacement phone that arrived on Friday evening. A 3G replacement SIM would've taken longer, don't ask why so we went into an O2 store to get one, and it was free, on Saturday. Porting the personal number to the new SIM was done straightaway.
It took its share of France - UK calls, wasted time and telling off (and effing at) o2 customer services but they managed to sort it out in about 36 hours ........ unfortunately for me as I was hoping to get a free iPhone out of this ;-(
I had my monthly o2 fighting session this week, this time about MMS and data. 3 hours of arguments over two days to get some things sorted out.
IIt is bizarre that first line customer service people try to sort out technical stuff when it is clear they're not qualified/ no have a clue about anything more complex than sending SMS settings
I do not have patience to deal with them anymore, all calls with customer service now end up in a shouting match to the amusement of my office colleagues. I normally get things sorted when I use the magic words "I'm dumping you as my mobile provider!"