Strange, just checked on my install with 4.08..
and blog tab is ok, when i position gallery tab first or integrated..
question: are you running vb
because there have been changes in tab css and code in vb
4.08 that need a quick fix for vbgallery (but the changes are rather cosmetic)
you will find the changes here: Upgrade 4.08 - some quick fixes Only apply these if you are running 4.08 !!!
If the problem persists, or if you are Not running 4.08, could I possibly take a look?
There also could be another hack interfering (not directly, but indirectly) to check that.. disable ALL Products in ACP except, blog, cms and vbgallery.
If it works then.. its another hack interfering.. you can find which one it is by switching them on again one by one and checking each time.