Just to be sure...you did install the Visual C++ 2010 Redistributable right,not just download the problematic file from somewhere and then copy it into the pcsx2 folder

Switching to software mode is not a solution.
I just tried the game but I guess the quality is almost the same as your image but setting the scale mode to 2x made a huge difference.

Problem complearly resolved, with the advice you guys gave me some reserch online and a little tinkering of my own i have dramaticly increased the visual quality and fixed all bugs that i had found so far.

If anyone's interested ill port the settings im using, the settings also are able to run Kingdom Hearts 2 with no ill effects so far.

See screenie for the improvement.

I did indeed use the Visual C++ 2010 Re-distributable i have no idea what happened but ive managed to get the older version of the EMU running correctly.

I want to thank everyone who contributed to this problem you were all a big help .