Hey Daniel;
Here are other things that may be plagueing your system:
1. You could also have some malware stealing CPU power.
Are your windows updates current? Many updates resolve malware issues.
2. Not all defrags are created equal. I have found the on-board windows defragmentor is not necessarily effective under some situations. You may want to try a good 3rd party defrag and see what happens. The one I use is the top rated defrag tool for 2011 and has a free trial so it costs nothing to rule fragmentation out entirely:
FREE DEFRAGMENTER TRIAL:
http://www.diskeeper.com/defrag/defragmentation-center/
3. Free tools like SpyBot Search and destroy and Adaware also help remove debris that can tax your CPU:
ADAWARE:
http://www.lavasoft.com/products/ad_aware_free.php
SPYBOT SEARCH & DESTROY
http://www.safer-networking.org/en/spybotsd/index.html
4. Viruses can also seriously overburden a CPU
AVG FREE ANTI-VIRUS
http://free.avg.com/us-en/download
5. Registry errors are also a candidate. I would do this as a last resort though as changing/deleting the wrong registry items can make things worse.
PC TUNEUP:
http://www.lavasoft.com/products/lavasoft_registry_tuner.php
Hope this helps
Cheers!