Ive got a canon pixma ip5000 which takes separate ink cartridges for each colour which ensures you only replace the ink which you use unlike printers that have all colours in one cartridge.
The canon cartridges cost around £7 and the copy cartridges are available for around £2.
This printer is awesome, it has a dual paper tray (i keep one with normal paper and the other with photo paper) it does duplex printing, CD printing
and has a decent resolution of 9600x2400dpi

I can not fault this printer check out what Canon have to offer in your price range.

heres some reviews

http://www.trustedreviews.com/printe...Jet-Printer/p1
http://www.photo-i.co.uk/Reviews/pri...000/page-1.htm