Shipping calculation stopped working

Hi Everyone,

WordPress version: 3.5.1
WP E-Commerce Version: 3.7.6.9

Im having an issue with WP E-Commerce shipping calculation.
The issue occurred without any changes being made to the site. Just got an email reporting it wont calculate from a customer.

The error is: “Sorry, online ordering is unavailable to this destination and/or weight. Please double check your destination details.”

I have followed the troubleshooting guide for that issue here: http://getshopped.org/resources/faqs/#Shipping2
Which everything looks fine except one thing which was when checking the category Target Markets I got a notice saying: “The Target Markets feature has been disabled because you have the Suhosin PHP extension installed on this server. If you need to use the Target Markets feature then disable the suhosin extension, if you can not do this, you will need to contact your hosting provider.”
The Target Markets are set fine on the general settings page however.
I contacted the hosting provider who says that Suhosin has always been installed on the server. This site has been working perfectly for over 18 months until now.
I dont know if the target markets have any relevance to the shipping calculation.

For the record I am using the Australia Post shipping module. However when changing to the UPS or USPS module, the issue is the same so I am thinking it’s not specific to the shipping module itself.

I have spent hours looking online trying various solutions people have suggested and none seem to work for me.

Any advice would be greatly appreciated.

Thanks

https://wordpress.org/plugins/wp-e-commerce/