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Portable telephone problem ???

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Hi I wonder if anyone can help I have a BT Studio telephone with a walk-around handset.I have changed the batteries as I thought maybe they were worn out,but still seem to have the problem.I cannot make outgoing calls on it as when I pick up the receiver all I have is the engaged tone.Yet I can ring in to my landline no. no problem but its driving me potty that I cannot use it to ring out.I put a spare phone on the phone jack to see if it was a line problem but that works fine.Any ideas or shall I just bin it and buy a new phone

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