ILR Tier 2 PBS, 5 year route, >60 days between sponsors

[Appletony]

BACKGROUND:

-- Here on a Tier 2 PBS Visa (entry at 31 July 2011) on high salary qualification.
Left employment 31 July 2013.

-- Had new employer/sponsor lined up, so took a long break (94 days) between employers, as money was not a concern.

-- I had received the expected curtailment letter in October 2013, but wasn't bothered, since it made clear that my leave remained valid for 60 more days, during which I had to either get out of country or get new sponsor (not a worry, since my start date in early November 2013 was already agreed with new sponsor).

-- Now I learn that my break between sponsors of more than 60 days breaks my 5 year continuous period for ILR, even though I was here with valid leave throughout.

-- Since I apparently can't get ILR using form SET(O), I intend to timely apply in person for extension of Tier 2 until my max time (July 2017), just to stay validly in country and employed.

QUESTIONS:

After extending my current Tier 2 to July 2017, is the only way to extend further if I do so from my home country (for example, take leave to my home country in January 2017 and try to expedite a full, new, Tier 2 PBS application, with my current sponsor still sponsoring)?

Isn't there any way to seek ILR with relief from the 60 day gap in sponsors that breaks up my 5 year continuous period (such as leave outside the rules)? Had I known, since I had already agreed new employment, I would have limited the time gap...