RepRapDiscount GLCD Display Update Issues

I’ve got my Smoothie working fine with my 3D printer. Now I want to set up the panel. I have done the following:
I’m using the Uberclock GLCD Shield V1.0
All pins for the adapter have been installed
Smoothieboard version is 1.0b with latest firmware
5V 1A regulator is soldered onto the Smoothie
The ribbon cables are 20cm long
The display works well for displaying the status during a print. However…

When I try to change a value, for example change the preheat temperature, the number does not change when I twirl the encoder knob. When I push the button to go up a level, it shows the value has been changed. The encoder works and some screen updates work because I can make a menu selection OK. It’s just when I try to change a value that it doesn’t update the display correctly.
I’ve tried changing the SPI frequency without effect.

Does anyone have any suggestions as to what the problem might be? Or what I should try.

I’ve even tried two different displays - one with the red PCB and one with the white PCB, to no avail.
I’d really like to use a display so I can print offline.
Here is the relevant section of the config:

#------------------- PANEL ---------------------------------

panel.enable                                  true
panel.lcd                                     reprap_discount_glcd     #
panel.spi_channel                             0                 # spi channel to use  ; GLCD EXP1 Pins 3,5 (MOSI, SCLK)
panel.spi_cs_pin                              0.16              # spi chip select     ; GLCD EXP1 Pin 4
panel.spi_frequency			      500000            # ---JGS		
panel.encoder_a_pin                           3.25!^            # encoder pin         ; GLCD EXP2 Pin 3
panel.encoder_b_pin                           3.26!^            # encoder pin         ; GLCD EXP2 Pin 5
panel.click_button_pin                        1.30!^            # click button        ; GLCD EXP1 Pin 2
panel.buzz_pin                                1.31              # pin for buzzer      ; GLCD EXP1 Pin 1
panel.back_button_pin                         2.11!^            # back button         ; GLCD EXP2 Pin 8
panel.encoder_resolution                      4                 # ---JGS

panel.menu_offset                             0                 # some panels will need 1 here

panel.alpha_jog_feedrate                      6000              # x jogging feedrate in mm/min
panel.beta_jog_feedrate                       6000              # y jogging feedrate in mm/min
panel.gamma_jog_feedrate                      200               # z jogging feedrate in mm/min

panel.hotend_temperature                      185               # temp to set hotend when preheat is selected
panel.bed_temperature                         60                # temp to set bed when preheat is selected


Can you please post your full config file to pastebin, and also make a video showing the issue, and in the video include the blinking of the smoothie leds. Thanks!