Hi bill
How frustrating,!
Your router and B2 are a definitely close enough together and if your B2 is going to stay there then there is a BETTER way of connecting your B2. However lets confirm a few WiFi things first.
1) Your Sky router will have come with what is called a SSID which will be printed on it or on a card that came with it. Make sure that the B2 is displaying this SSID when you are attempting the setup. The point to note here is that if the
B2 see (display) the SSID of your router the B2 and B2 WiFi dongle are working OK!
2) along with the SSID your router will have come with a WiFi password (which is case sensitive) and an "admin" password. You want to use the WiFi password which is entered using the front knob on the B2.
Essentially the same process as connecting your phone, tablet or PC to the WiFi.
If this fails then the next thing to try is downloading the free edition of Netspot onto your PC (
https://www.netspotapp.com/netspotpro.html) and look at your WiFi network to see if the channel /band you are using is overlapping with another router.
Have a play round and tell us if you think you can see an issue, it is the 2.4 Ghz band that you want to look at.
If all this still fails then (and this will not invalidate your warranty) get an ethernet cable and plug one end into an ethernet port at the back of your router and the other into the B2. You will need to take the back off the B2 to do this as described here on
the Brennan
Web site. Just remove the top two screws form either side of the back of the B2. There is a flat and a round cutout to allow the cable through the back plate - just go slowly.
Once you have done this, remove the WiFi dongle from the B2 you do not need it now and it will confuse things if you leave it in.
Reboot your B2 and you should be presented with an IP number on your B2's front display.
By the way a Ethernet connection is the BEST sort of connection for the B2.
Fred