Thank you for your reply,
Firstly- Yes, I have families with less than 8 members with two members married and being family oriented etc. I also have the neighborhood stories set to adopt children and have babies both in the "my households" folder and also the "other households" folder.
Originally, I did copy the game and then copy files back in but it was still doing it and I had a problem locating an old mod (cheat menu) in order to delete it and some people said it was embedded and because of the update, it made sense to me that it had become outdated and I thought there was no other way to get it to work.
Once I reinstalled the complete game, I was making sure it was working so I kept checking every SIM day or two to make sure there were Sims having babies or adopting children. It was working fine so I created a new save and then continued on with that, so I had a point to come back to should it stop working. Sure enough, after I'd created a few more Sims and played the game for a while longer, it's not doing it. I know it is meant to happen at a slower rate now but I play The Sims most days and I know what a reasonable amount of time should be. It's just not working!
I'm currently trying to experiment to see whether it stops with an amount of Sims or after an event (twin births etc) but with no CC in the game, I don;t know what is causing the problem.
I did read someone elses post on here saying they had a problem with Accidental Deaths.. That all Neighborhood Stories were working for them except accidental deaths, which feels like the same problem I'm having, as all other NS seem to be working fine.