After trying the game disk again in the machine, I get the same error but the console freezes. After this the console will not start up whilst there is a disk in the drive.
Go into memory settings and it says that the hard drive is unformatted. So I reformat losing all my save games and profiles.
My question is, what was the likely cause of this? Is it a console fault? Now I am reluctant to start any new saves in the likelihood that this happens again.