Hi. Thanks for your very rapid response.
No spaces. Just the way I typed it in this window. Thanks for the suggestion though.
I have found the issue now after lots of mucking around.
The default path is C:\Users\admin\Documents\Kicad\template but my files were in C:\Users\admin\Documents\Kicad\TIS_Template which caused all kinds of strange things to happen.
The templates files have to reside in C:\Users\admin\Documents\Kicad\template\My_Template1 Where My_template 1 is the folder with the pro sch pcb and meta sub folder in. My_Template2 would also be in the template folder with another set of files pro, sch, pcb and meta sub folder etc.
Now it seems OK
Start KiCad / New project from template/ make new folder for project with project name as folder name
and select folder. This is a little confusing as the default seems to point to the templates folder.
Once that is done, the Template window starts with 3 tabs, System Templates (empty, path = C:\Program Files\KiCad\share\doc\kicad\template) User Templates (path = C:\Users\admin\Documents\Kicad\template) or Portable Templates (path = C:\Program Files\KiCad\share\kicad\template) where the supplied templates that come with Kicad are stored.
Provided the user template files are in the correct place, the icon appears and the user template can be selected by clicking on the icon.
The manual does not describe this very well (I downloaded this last week and it seems to be the latest issue: KiCad dated 09 Sept 2017 but that may be the downloaded date rather than release date). It suggests that the icon is optional, but it seems to be essential, other wise there is nothing to click. The optional item is probably a .png of the board. For my purposes this does not exist. I am only trying to set default libraries for eschema and track widths / drawing preferences for PcbNew.
In the manual, the Project Template selector shows the supplied templates in System Templates, whilst at least under windows, they are in Portable templates. The project template path has no templates (C:\Program Files\KiCad\share\doc\kicad\template) It would appear that the path may have changed since the documentation was produced.
All very confusing, and that does not take much for me these days!
Finally (I hope), I would like to set the default width for the dimension drawing in PcbNew, but there is no obvious way to do that. Is this possible? Default pen size, board edge and outline do not seem to affect this setting, and it is not carried over from the template. Any ideas?