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Get a Canon D60 second hand? Or a second hand EOS 300D kit?

Batteries last forever, stick a 2 or 4 gig compact flash in and you're set!

That's my two pennies, here's a third:

As far as compacts are concerned, I can't really fault the bomb-proof Powershot s50 which is a total bargain second hand. Needs a spare battery though, but at the prices they go for it's easy to have three ;-)

http://www.dpreview.com/reviews/canoneos300d/page22.asp

I've seen them on Ebay as a full kit in good nick for under 300. There is a harder to find black version too.

The Powershot is a good one.

I find that the Kodak range give excellent results with good colour/light balance on landscapes.