I have found the solution to this now. It is to disable system time/date
from being reset to UTC (GMT).

* In Terminal type

sudo cp /etc/default/rcS /etc/default/rcS_backup
gksudo gedit /etc/default/rcS

* Find this line

 UTC=yes

* Replace with the following line

 UTC=no

* Save the edited file
* System-> Administration-> Time and Date

Set the correct time/date

* In Terminal type

sudo /etc/init.d/hwclock.sh restart

-- 
booting puts BIOS clock back 1 hour
https://bugs.launchpad.net/bugs/231464
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