Windows 8.1 fails to upgrade MigHost.exe Error: WdsInitialize failed to initialize

I am currently running Windows 8 and get the following error message around 70 - 73% after the gathering info stage of upgrading to 8.1. I have no applications running and have tried several reboots. There doesn't appear to be an error code and not much on Google. Does anyone know what I can try without reinstalling Windows 8 or somewhere I can look at a log for more information? C: drive has 217 GB free (I have heard low disk space can be a problem)

It's one of those error messages, that you keep clicking OK to but it keeps coming back. I just end up restarting and then it only shows again when I try and do the update again.

Update

Installation Failure: Windows failed to install the following update with error 0x800704C7: English (United Kingdom) ESD Bundle Parent.