Cheers David.
Yes, the supply is at 4.9V and the LM35 measures accurately. It's only the output from the op amp that varies.
I'll try your suggestions, thank you.
PS
Ah. I've just noted what the problem is. I had tried to offset the LM35 because the output goes negative below 0degC and this is no good for the uC. However, I did this by placing a resistor between ground (i.e. battery negative) and the ground pin of the LM35. It did offset the output but interferes with the op amp gain!
PPS
Durr. I've just realised why. I am amplifying the resistor offset too! Sorry for sharing the thought process!