Photos unable to upload

Hi Guys

So I seem to be having issues trying to upload a photo to existing blog posts from within the back end

Here are a couple of videos showing the situation

This is the cover photo not able to upload
http://www.screencast.com/t/AlWnufZF81i

This is a normal photo not able to upload
http://www.screencast.com/t/hJ6b9H8h4aY

Is there a setting or something that has caused this, I never had this problem before

Thanks