Hi Roger,
I would suggest that you put a bit of effort into polar alignment and see how you go....I use the CCD Drift method (takes about 5 minutes to get close enough for PHD to do the rest).....
here's one link to ccd drift method....I use 30 or 60 secs depending...
http://www.deepskyjam.com/Files_GB/T..._Method_02.asp
PHD only removes backlash in one direction for me (can't remember which way, I think after west???) I use mostly the default settings although give calibration steps a good shunt near the poles - but it sounds like you have got that bit licked anyhow...
Alex