Thanks to a recommendation from UK James, we stayed at Bodega Bangkok Hostel in the Sukhumvit area.
A bed in a 14 bed dorm (the largest and cheapest) was 363 THB/ $13.50AUD p/p p/n without breakfast. Breakfast could be ordered at the hostel with lost of choices from a full English breakfast (160 THB/ $6.50AUD) to toasted muesli with yogurt and fruit (120 THB/ $5AUD)
The hostel was clean and offered good air conditioning but lacked seating in the common area. This was certainly made up for by the extremely comfortable beds and pillows. However, the hostels location wasn’t really near anything and you had to catch either a taxi or the BTS to get anywhere, definitely not surrounded by other hostels (the Sukhumvit area is mostly taken up with high rise hotels) If you are looking for a more social atmosphere, we recommend finding a hostel near Khao San Rd – backpacker/ party/ bar central