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Managed to get it to work if I put .htaccess with RewriteEngine Off - in the โ€˜filesโ€™ subfolder.
Ok but my problem is I have a lot of categories all with their own folder and subfolder named โ€˜filesโ€™ (RW convention), I donโ€™t really want to be creating lots of .htaccess files. Is there a way I can do it for each directory in the root .htaccess?

UPDATE

Had another โ€˜playโ€™ around! If I place the following code in the route .htaccess

RewriteEngine On

RewriteCond %{REQUEST_URI} !(files)
RewriteRule ^weighing-scales/balances/.*$ weighing-scales/balances/index.html
RewriteCond %{REQUEST_URI} !(files)
RewriteRule ^weighing-scales/compact-scales/.*$ weighing-scales/compact-scales/index.html

Everything works Ok for those pages apart from accounts and shipping.
Say the URL is: https://www.weigh-till.co.uk/weighing-scales/compact-scales/account/settings
and I refresh, I lose the CSS.