Without being facetious, what's it got to do? All rounder, macro, sports, portraiture?
I'd grab a 20D and spend the rest on lenses. If very lucky you might grab a used 17-70
Sigma which is an awesome lens.
A friend of mine is looking for a student kit for his daughter for college. He was going to spend about £300, I'm a bit out of touch with cameras currently available. Any thoughts or suggestions would be appreciated.