Since i purchased my 2005 XJ about six weeks back, i've had the SRS dash icon flashing. It flashes 1-7 and cycles a few times before remaining lit. After searching and searching, i finally fixed my issue. It's a bit weird, but may help others.

To troubleshoot:

• get in passenger seat with a slim roll of paper towel roll. All windows in up position - ACC off - Stereo off.
• turn key to position II:
• Place towel roll against ear and move to each of the 4 occupancy sensors. There is one in the upper dash next to the passenger seat heater button - one in the A pillar above the dash - one above the B pillar toward the passenger doors - one in the center overheard area of headliner
• You will/should hear a slight echo from each sensor. I did for 3 of the 4 and found the B pillar sensor quiet

To check:

• i removed the B pillar trim piece and removed front and rear passenger headliner handles. This gives you room to pull on the headliner for some flexibility.
• I wiggled the sensor from the roof and pulled through the hole in the headliner and discovered the wire was NOT attached
• I then moved my hand around above the headliner and found a loose wire. This wire runs from/to the center headliner sensor so they are connected by this wire
• Odd: the end of this wire had a broken connection...unsure how this could have happened unless the headliner was repaired at some point

To Fix:

• removed both plastic connectors (since one was broken)
• removed positive from battery
• with the smallest wire nuts i have, i ran the wires through the headliner fabric hole to the sensor in my hand and twisted the wires together (black to black & grey to green/yellow) hard to recall the other color, but just make sure black wire to black wire)
• reinstalled sensor in headliner
• reconnected battery
• started car and bingo....SRS air bad light in the dash goes out and stays out

Hope you have similar luck as this was a free fix and costs not much time
Hint: when you reinstall the B pillar liner....move both of the belt adjustments to the lower position - this way they will match up when you reinstall saving you time

 

Great news aceler8. Congrats