Help with PHP Includes on localhost

Hi,

I have a very simple index.html file with a header div.  I have put an include into it like this:

    <div class="header">
      <?php include("includes/header.php"); ?>
    </div><!-- end .header -->
I have follwed David Powers setup_php to link to my localhost, putting the whole developement web in c:\websites\localhost\crown.

The actual header.php is in a subdirectory of crown called includes.

When I publish the site to a live server it works perfectly but not on locahost or in liveview.

I don't get any errors, just an empty header bar on the page..  I do get a warning across the top of the screen that I haven't installed flash(which I have)

I believe php is working OK on my localhost as running the php file direct in both liveview and F12 works OK.

BTW, I'm running CS5 on 64bit Win7 home premium.  I've installed Apache 2.2.15 and php 5.2.14.

Any pointers greatly appreciated as I'm quite new to this.

Thanks,

Tim