Most important is lens quality. Without that everything else is a waste of time
If you want the best for that sort of money try Canon Powershot A75. At Jessops for £169, although you may find it cheaper on the internet. (Jessops will price match) You'll need to buy a compactflash memory card as well, suggest 128Mb size so that you can take plenty pictures on one card.
If you can't stretch to that, then Jessops have a Canon A400 at £129
Best advice is to go and try these in the shop comparing them with other makes.