When you set up an account from scratch you get the dialogue shown in the attached image. There are boxes for server addresses, ports, security and authentication and your user name(s). If you don't provide a password you'll be asked for it when it is needed.

After setting up an account, you access incoming account settings where the account is listed in Tools|Account Settings.

SMTP (outgoing) servers are bundled together as the last account in the Account Settings pane.

Passwords are stored at Tools|Options|Security|Passwords→Saved Passwords, where you can delete or edit them. Try a right-click or double click to get the edit option.

Oh, and each incoming account has a box where you can set the required outgoing SMTP server.

It's a bit unusual these days to be using different providers for incoming and outgoing, as you are doing. Increasingly, many outgoing providers' servers are refusing messages from other networks' domains.

I'd probably set up the outgoing SMTP by hand, under Account Settings|Outgoing Server (SMTP) and then add that server when setting up the incoming account, in the dialogue I showed above.

Thanks for guidance, nearly there! I'm using Thunderbird 31.8.0 in the interim as I want to import data from Outlook. I have got an account set up using the email server's SMTP details, and then have edited the server to become smtp.tools.sky.com with the appropriate user name. I'm now stuck on how I enter the correct password for this server (which is different to my POP server).

From the main screen Accounts/View settings for this account/outgoing Server (SMTP)/Edit I only get an option to use the normal (POP 3) password but not to enter a new one.

I am probably being a bit slow but I cannot find the start of the Tools/ Tools|Options|Security|Passwords→Saved Passwords that you advised me to use - it sounds exactly what I need!

I have been clicking on the three horizontal bars on top right but get fairly limited options under Tools.

Thanks for your patience!

Use Tools from the Menu Bar to follow the listed instructions. Press Alt key if hidden.

When using the 3 bar AppMenu button Options is a choice in the top menu. Use that.

My directions refer to a traditional menu. The traditional menu is consistent. The three-bar thing appears only in the calendar and main window, so users have to revert to the traditional menu in those other locations. So, to me, it is much simpler to use the traditional menu throughout.

In a window where you want a menu, tap F10 or alt+v to see a menu temporarily. Go to View|Toolbars and tick all the checkboxes.

Thanks for the help - have got to Tools now. I can only set up an account with the Freeola POP 3 and SMTP credentials as the setup can validate those settings. When I go to look at the passwords the Freeola ones are the only ones I can see and I cannot see how to add in the Sky password for the outgoing SMTP server. I have tried adding a "spoof identity / account using the Sky password but it fails the server checks.

Is there no option to manually enter the server and pass word details in Thunderbird?