Will I got it working when running rspec. But then when using Guard with Spork it still continued to be a problem. But I have just added the moc to the Spork.each_run area and looks to be resolved.
Thanks to a lengthy chat with Joe the problem has been resolved. the following steps were done.
1, Remove Spork
2, Update Spec Helper
ENV["RAILS_ENV"] ||= 'test'
# change to
ENV['RAILS_ENV'] = 'test'
# moved require statement to top and add webmock
require 'webmock/rspec'
WebMock.disable_net_connect!(:allow_localhost => true)
# removed line
require 'rspec/autorun'
3, Added my vcr_helper.rb to autoload path. /spec/support
Seems so little in the ned but we went through many steps to get there.