you can get a decent digital camera with rechargable battery for around 120-130.
I got a Sony cybershot DSC W35 about a year ago for about £125, but you can pick them up for 110-115 now and its worth every penny, it takes really nice crisp clear shots, good colours, its got a nice lcd screen and options for using manual settings or automatic.
Has modes especially for scenic pictures, night, or close up macro mode which can take pictures in focus at like 1 inch from the object. It also can take very good video aswell, if you have a memory card it can take over an hour of high quality footage, probably more if you buy a bigger card but i was very impressed with the quality and sound when played back on my pc
Battery lasts ages, no problems there