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Speedo Guage Wobbling

For a few weeks now, generally at higher speeds or under acceleration, my speedo dials wobble quite a bit and give me an estimate of the speed I'm going. I.e. gps speed is constant at 60mph but speedo is wobbling between 50-70mph constantly

Also sometimes the speedo will drop to 0mph and stay there for quite a while before bouncing back up.

I assume this is a problem with the speedo sensor on the gearbox? Where is this located?

Also, does the sensor generate the mileage the car is doing? After a long weekend, I know for a fact I did at least 160 miles but mileage shows only 80 miles.

Thanks for all help
Soph had the dropping to 0mph problem, we fitted a new sensor (down the back of the engine on the top of the gearbox IIRC) and it's been fine ever since. The sensor does also increase the mileage, the fact it thinks it's been going 0mph means the Odometer won't be counting up either.