it is apparent you know your w/m and not afraid to undertake the repair and maintainance.you have already diagnosed the fault ,and just need a gentle nudge in the right direction .the pump impller should not be able to be removed from the shaft that easily ,sounds like the impller is riding up the shaft and getting jammed in the housing ,or just simply spinning on the shaft .I would replace the pump,and lets hope you get another 10 years out of the old girl .well done.
mech monster, November 2011