Right now for the size and quality youre looking at only two options tbh:
* Sony Cybershot range (W50/W70 being best)
* Canon Ixus range (IS800 being best)
I was going to pick up the Ixus IS800 a week or so ago but they werent around in the shops and only available through online and I needed it fast. If you can stretch to it thats probably the best small camera going right now.
I actually picked up a Sony Cybershot DSC-W70 in the end and really very pleased with it - the W50 youre considering will be just as good. Been using a full Nikon Digital SLR as my main camera for a while and as it excels at just about everything Id been using the small nikons as pocket cameras but they arent in the same league as these two. Many small cameras suffer in low light, have slow startup and shutter responses and tend to blur a great deal.
Im pleased to say the Sony cybershots dont have these issues and was suprised how well they cope in very dark places even without a flash. I happen to have a couple of random snaps on mine right now from a night out at the weekend (at work so not got access to my iPhoto collection just whats in my pockets
). Theyre far from good photos but theyll give you a guide as to what you can expect to get back using a cybershot in really dark places where you would normally grain and blur on a pocket camera. A couple are in dark corner of pub with no flash and others in total darkness outside which should just about show you the worst quality you will get from your shots.
http://www.flickr.com/photos/shavenewok/Cameras not left my pocket in last week or so so its been to pubs, clubs, dancing, mountain biking, etc and not showing any signs of wear and tear. Not bad as ipods tend to be scratched to hell within a matter of days the way I treat my stuff in jeans pockets next to keys and phones lol.
I havent put any daylight shots from mountain biking or proper bar/club photos up on that site because as you might expect normal daytime stuff and well lit photos are pretty much perfect on any camera in this price range so wouldnt help you much.
PS: Just a reminder that high street shop Jessops will price match any UK retailer even if theyre online (you have to ask as they dont overly advertise this). Often handy to be able to print off the price from amazon and then walk into a shop and get it from them. Makes returns and stuff easier plus its in your hand as soon as you give them the money.