If you're willing to put up with a damaged box, you can now grab a new 40Gb PS3 from ChoicesUK for £240. From the site:
DAMAGED BOX but product has been tested to ensure it is in full working order. Please note: Only one console per household. Deliveries can only be made to your billing address and within the UK. The Playstation 3 from Sony is the most powerful next generation games console and entertainment system, packed with features to die for. The new 40Gb version has all the great features you would expect from Sony, all at fantastic value.
Buy. Then buy a new hard drive. But buy anyway. Thanks, grandmaster.