Through the application of novel signal processing techniques we are able to measure physical measurands with both high accuracy and low noise susceptibility. The first interrogation scheme is based upon a CCD spectrometer. We compare different algorithms for resolving the Bragg wavelength from a low resolution discrete representation of the reflected spectrum, and present optimal processing methods for providing a high integrity measurement from the reflection image. Our second sensing scheme uses a novel network of sensors to measure the distributive strain response of a mechanical system. Using neural network processing methods we demonstrate the measurement capabilities of a scalable low-cost fibre Bragg grating sensor network. This network has been shown to be comparable with the performance of existing fibre Bragg grating sensing techniques, at a greatly reduced implementation cost.