Wow! That is kinda pathetic :-( Daboecia are closely related to heaths and heathers (Calluna & Erica) and should have an appearance and growth habit very similar to these plants. In general, when these develop bare woody stems, cutting back into that woody base does NOT generate new grow.

Since the plant is struggling mightily now, you really don't have much to lose by moving it. You might try cutting back a few of the longer stems to see what happens, but IMO the prognosis is not good. Provide it the same growing conditions you would heaths and heathers and should it survive and miraculously flourish, shear back after flowering the same as you would do with those plants.

Yes it is pretty forlorn looking. it was fine last year, well, not as bad as this anyway, but we've had an exceptionally wet summer, plus theres been a lot more activity in the garden having got a puppy,then rehomed an olderr dog, and they like to play a lot, and sometimes my daughter chases them and, well you can imagine! I noticed also that both my Lavender and my creeping Ceanothus that are out there have also suffered at the feet of my rampaging horde! She was walking towards the house the other day and stepped right onto the ceanothus with a snap!
I think I'll just turf or seed over the front garden-it was originally all lawn but me in my infinite wisdom decided to dig up part of the lawn and make a flower bed, yea, right!