Thanks for all the advice.

Me & Steve are going to take turns sleeping in the spare room for the next few days.

I hope he'll learn not to fear us, then we are asleep not moving etc.

I will try reading aloud to him, sitting on the floor when he is less scared. It is an excellent way of getting him used to our voices.

Catdad.. I really hope you are right, if he once was a happy kitty, he has a chance of becoming so again.