Brewz, if you haven't replaced the intake spacer block, I would strongly recommend doing so.
The first 394 I overhauled (I've done two now and the third will be my own) I had a problem very similar to what you are experiencing. That intake spacer houses the carb pulse port. It was recommended to me to replace that spacer because over time they can develop very small cracks that will interfere with the pulse signal getting to the carb properly. I'm not sure what it will cost you there in Australia, but I paid about $20 here in the US. Ya hate to just throw parts at thing, but I might be worth a shot in this case. In fact, I would probably do that before condemning the metering spring and/or lever.