got my GF a Casio Exilim s500 off ebay for £100 with a docking station. Its only 5MP but the picture quality is great, all the features are cool and movies are very good.

If your not bothered about the dock you could probably get the z1000 (10MP) for about £115. Only got the dock cos she looses cables all the time

Do a quick search on eBay, Bargain!