Appended URL – Why?

Hi I have just set up a blog and I am now trying to create my own theme following a tutorial…

I have just added the lines

<div id="header">
		<h1><a href="<?php echo get_option('home'); ?>"><?php bloginfo(’name’); ?></a></h1>
		<?php bloginfo('description'); ?>
	</div>
	<div id="container">
		<?php if (have_posts()) : ?>
			<?php while(have_posts()) : the_post(); ?>
				<h2><a href=”<?php the_permalink(); ?>“><?php the_title(); ?></a></h2>
			<?php endwhile; ?>
		<?php endif; ?>
	</div>

and it works as far as displaying but on clicking the links i get

http://domain.co.uk/�http://domain.co.uk/?p=5%EF%BF%BD

(which can’t be found for obvious reasons!)

why does it append and not overwrite? I created a second installation of wordpress to see if that made any difference but apparently not. I was tinkering with Pretty Permalinks and have since found out that my web host is runing IIS 6 and not Apache… does that mean anything with whats happening here?

Thanks
Matthew