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Yeah, it does. The signal from the lambda sensor is used to alter the air/fuel ratio by increasing/decreasing how much fuel is injected each time. If the sensor readings are duff, it could end up pouring too much fuel into the engine.
 
figured that would be the case but wanted a second opinion:) have just picked her up and she feels a whole lot better,more poke to her from the offset so fingers crossed she's had enough of being stroppy for a while;) think she'll get a wash this afternoon before she finds out what i've bought for Thumper :D
 
Could well have drowned your cat in petrol then ;)
Hopefully a year of driving and a good bit or right foot will clean it out before you have to worry about the mot again next year.

Ollie