SOLVED: Just had to close browser and refresh a few times.....
I have tried deleting <li class="li-nav"><a href="index.php" class="txtDefault">{LANG_HOME}</a></li>
from the categories.tpl file but it didn't work.
Ideally, would like the move it up to the the bar where 'about us, contact us, terms & conditions' etc sit.
OR....can I rename it? To 'home'?
Thankyou