Now installed the new panel and finished testing. Had originally decided to remove the existing sensor, test it then replace it and attach a gauge. As the gauge I bought came with a sensor I decided to use that. Before going to boat tested it at home with cold and 80 degree water. Resistance readings at these temperatures were 5k and 300 ohms. Also found the gauge to be pretty accurate, so not bad for £6 off ebay.
Installed the panel, new gauge and sensor and started the engine. All works pretty well, nice to have the oil light go out instantly and the warning buzzers too. The original issue of having to rev engine to get charge light remains, however as I now have a working oil warning light, not so much of an issue any more. Probably look into changing alternator as and when. I also sorted the wiring loom and made a bracket for the relay so it sits the right way up.
When I tested the old sensor I got resistance readings of 5k cold water and about 400 ohms at 80 degrees. Thanks again for everyone's help.