Ooooooooo getting closer.

 

There are no errors reported at all, but still no toolbar or text.

 

However if I click on the none radio button so that it doesnt show a toolbar, the editor works fine. The HTML all appears and is rendered, you can change the HTML in  both views and you can submit it all OK.

 

So my guess is that there is something in the toolbar render bit that IE5.5 doesnt like, I cannot recreate the problem in IE7 any more.