Not sure why you might put a membrane behind it, part of the advantage of a gabion is that it doesn’t hold water. The same for the skin of blockwork, pointless. The filling of the walls is usually carried out by labourers, not difficult but heavy work for someone not used to it.
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It sounds like you need to sort out the drainage, a gabion or any other type of wall will not not help with that.
Move! 
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We did think and keep thinking about that…
You need to put some drainage at the bottom of the slope against the house. ACO drains or similar would be my choice, run into the existing storm drains.
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As you can tell, it’s been bodged to death by previous owners over the years…
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Err… yes.
Why not conventional (double layer) retaining wall? Surely a gabion wall would have to be much thicker?
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Nothing a good Gabion wall wouldn’t fix 
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If you are talking retaining walls, you need foundations and depending on the height of the wall the thickness quickly need to increase to silly size.
I’d kinda looked at that, but it would need proper foundations and concrete, plus brick/block laying skills I doubt I possess, plus spendy.
The top and bottom of it is I have to be able to do it myself really (slowly!) can’t afford to pay anyone.
Are you thinking of terracing it, how many levels, what is the height difference between bottom and top levels?
Just fucking live with it. It looks like really hard work, why would you do this? Continue to bodge it and only consider really sorting it out if you suddenly come across a spare ten grand to pay someone else to do it for you.
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No the terracing be gone, we are looking at 1.5 mtrs.
I love the picture of Rob leaning on his spade. You can almost read his mind. I could just hear him saying.
“So what the fuck do I do with this”
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You need a humongous brightly coloured climbing wall slash eyesore to really bring the garden together
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The thought had occured for about 15 years!
How did you know?!
For brick/block retaining wall 1.5 m high, you would need to start with a 675mm wall, reducing as it rises. Hugely expensive. Also, what are you going to use fill behind the wall Street?