Your post appears a little confusing - you report BBC1-HD on 101 is breaking up, yet "i can watch the local bbc1hd Channel with no issues". BBC1-HD is BBC1-HD, there's no separate local version.
Pixellation & picture breakup is usually a signal fault, so the standard advice applies here as much as anywhere. If you've rebooted your box once, then there's likely a fault somewhere, so this will need VM to intervene. You're likely to need either an engineer visit or a replacement box, depending on what VM's remote diagnostics turn up.
First check the automated faults line for any existing issues in your area that could be the cause: 0800 5610061. If nothing's reported, assume VM don't know about your fault and ideally you'll need to call them.
150 from a VM phone, 0345 4541111 from any other phone - choose the options for "I have a fault with my TV service". Alternatively you can wait on here for staff to respond, which may take a day or so.
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