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How to stop Xsara Picasso from misting up?

I own a Xsara Picasso LX. Earlier this year I changed some lamps on the heater control panel, to do this I had to remove the panel and the control rods at the back. Reconnecting was a nightmare but was finished. However two of the teeth on the hot/cold control snapped off so now I cannot get the heater to full heat, only about three quarters.
The problem now is , especially with the cold weather is the car gets steamed up very quickly. I have the heater on as high as i can get it and when the air control is on recirc, the heat is superb but as soon as I change from recirc to allowing air from outside the heated air goes cold. Is there anything I can do apart from the obvious which is to replace the heater control? I would appreciate any help you can give in this matter

Thankyou
Chilli 03, December 2008
Do you have air con? If so, using your air con on warm will take the moisture out of your car.

George., December 2008