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It seems I have found another work round and it might explain why some people get errors and others don't. If I drag and drop the image into the post, I get the error. If I then delete the picture from the post, but leave it in the attached files at the bottom of the screen, it posts fine. So I tried it by not dragging and dropping but simply going to "choose files" to add the picture, and this also worked fine. So don't drag and drop, just choose file!