I recently changed operating systems from Windows 7 Home Premium to Windows 2008 Server. I then installed Visual Studio 2008 and SQL Server 2008 Express R2. When I tried to connect to SQL from VS2008 I received the following error.

'This server version is not supported. Only servers up to Microsoft SQL Server 2005 are supported.'

I found the solution to the problem on Pinal Dave's SQL Blog.

You have to download and install Visual Studio 2008 Service Pack 1

Code Forth,
Martin Welch