Ive faced this pagination issue before, but managed to always fix it, however whatever coding i add into the site seems to make absolutely no difference at all.
When i try to goto the next page (/page/2), the page seems to just refresh (and the url of the page does not change either).
The page overall includes a few loops, all are finished with a reset query so shouldnt interfere with the main loop. Im pretty sure this site WAS working, but isnt now maybe due to an WP upgrade...
Heres a pastebin of the homepage loop im having trouble with. Any ideas?