OK, well I'm still glad I posted as there definitely seems to be a problem here, but my Deskscapes is working again now.
After updating from the previous beta version to 1.95(

.028 my Deskscapes failed to work, as described previously. The actions I then took were:
I uninstalled Deskscapes and rebooted.
I installed Desckscapes 1.02 and rebooted.
Deskscapes still failed to work - no error messages, but no Dreams would display.
I ran Stardock Central and allowed it to update Deskscapes to 1.95(

.028 again and rebooted.
Deskcape Dreams is now working perfectly again.
I'm obviously not entirely confident it'll continue to work, but so far this has done it for me.