I experienced problems between Windows XP and Roxio Easy CD creator.
Firstly, you need to get a few updates from the Roxio website to increase compatability between the two. Hopefully this will solve the problem.
But as mentioned NERO is much better and hassle free under Win XP. Easy CD Creator is based on an ancient Win95 engine and hence not up to the task - certain elements of it will not work under XP no matter what (mainly that backup feature).
And lastly, if u live in the UK u should be converting your video to PAL for playback on a UK(PAL) TV as its superior quality, even if your TV has NTSC playback.
It's been a while since I made a VCD, but from a dodgy memory, open the "MPEGAV" folder and then you can right click one of the files in there and choose to open it in Windows Media Player. If I remember correctly, it's a DAT file.