Right - that socket where you show the insides is an NTE5B, which is exactly the same as the normal NTE5A but without the external socket.
One or two things to do.
First, remove the faceplate just like you have in the photo, and see if the phone socket downstairs works - either phone or broadband. It is almost certain it is fed off that faceplate and therefore will not.
If it does work downstairs with that faceplate removed then something else is around that we don't know about.
If it doesn't work, then check the terminal numbers and colours of the wires at both sockets. It isn't totally clear what there is there, but it looks as though all 6 terminals are in use.
You should carefully remove any on 1, 3, 4 and 6. T2 and T5 are the only useful ones, with 3 guaranteed to be trouble, 4 often, and 1 and 6 probably irrelevant but disconnect just in case.
Regarding T2 and T5, make sure from the colours that T2 goes to T2 and T5 goes to T5. T2 >> T5 and T5 >> T2 is wrong!Also make sure they are a matching pair, for example Blue with white marks and white with blue marks, or similar. Report back on those and what all the other colours are, just in case it is junk cable. (But at first sight it looks OK).
What is just as bad as having T3 connected is if the pair on T2 and T5 are not matching. For example a blue/white and an orange/white. That is called a "split pair", and if you have one of those we can tell you what to do - from the others that are there.
Any disconnected wires need to be carefully coiled out of the way to stop them contacting anything, but don't push them behind the test socket - the one on the wall part of the NTE5B.
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Edited by RobertoS (Sat 08-Oct-11 16:29:58)