A bit more information
Using IETester (just found it today - very nice).
View Source - IE Interpreted Source Code
<FIELDSET>
<INPUT type=hidden value=oneword name=advSearch>
<LABEL for=ajaxSearch_input>
<INPUT class=cleardefault id=ajaxSearch_input onfocus="this.value=(this.value=='Search here...')? '' : this.value ;" value="Search here..." name=search> </LABEL>
<LABEL for=ajaxSearch_submit><INPUT id=ajaxSearch_submit type=submit value=Go! name=sub> </LABEL>
</FIELDSET>
/* COMMENT - IMG turned into a DIV */
<DIV style="FILTER: progid:DXImageTransform.Microsoft.AlphaImageLoader(src='http://www.clark-eriksson.co.uk/assets/snippets/ajaxSearch/images/cross.png', sizing='scale'); WIDTH: 0px; HEIGHT: 0px">
</DIV>
<IMG id=indicator style="DISPLAY: none; VISIBILITY: visible" alt=loading src="http://www.clark-eriksson.co.uk/assets/snippets/ajaxSearch/images/indicator.white.gif" jQuery1276164978031="12">
</FORM>
I’m thinking Opacity problem. I’ll try that.