Powerline not working with Technicolor TG582n

[#1]

Sounds like your laptop may be wrongly configured with a hard set IP address instead of being set to pick up it's IP and DNS from the router using DHCP (which is the default).

[#2]

Looks as if for some reason your laptop is not seeing the DHCP server?
169.254.x.x/16 is a default APIPA IP address used in such cases to get limited connectivity.
This link gives more detail.

Maurice  
EDIT  Crossed with JELV post.  Worth checking your Laptop network configuration.
M

[#3]

Hi mrbooki!  Not sure if I've read your initial post correctly, but have you signed in to Plusnet broadband with your Sky router?  If you haven't, I suggest you give it a try and if you have and everything worked to your satisfaction, then stick with the Sky router.
I'm a recent convert to Plusnet and had issues from day 1 with the Technicolor router. I figured that as everything had worked previously with a TalkTalk router it was worth seeing if this would work with Plusnet which it did.  Everything is now working as I would want & I am, I have to admit, happy with Plusnet just now.   

[#4]

Yes, in other words, if your PC can't pick up an IP address from a router, it invents one that begins with the number "169".  Basically a network card has to have some kind of IP address, it isn't allowed to be blank, so when it can't get a real address, your operting system has to make one up.
This 169 number is absolutely no use to a PC, and can't be used in the real world (so you couldn't make up a network by giving the router and every PC an IP in the 169 range.  They just wouldn't see each-other).  But it kind of makes Windows (or Linux, or Mac OSX) happy for there to be some kind of number there. 
Bit like when you have one of those web pages that won't let you proceed unless you fill in a field.  So you fill it in with any old gibberish so you can get past it.  That's more or less what Windows is doing with your network card.
It only lasts until you reboot though.  Once things are fixed, it gets a correct IP.  If it isn't fixed, you just get a slightly different 169 number.
In the IT field the presence of a 169 IP address is like running up a flag saying "check the router/network cable/socket".