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So you were in the circulatory carriageway, which means that you have priority over drivers entering the roundabout. The driver was at fault. I take it when you say that you were 'as far inside as could be' that means you were positioned prominently and not close to the edge--there's really no excuse for the driver. (They would have been at fault even with excuses.)
They were in the entrance that was 12 o clock from where I entered the roundabout and which I had to pass to get to the 3rd exit