I was talking to the video guy at a wedding a few weeks back and he had just received a 40D from them safe and sound, and at a good price (but no better than buying in the UK with the Canon cash back). The thing is, they are in Hong Kong and if you get hit for VAT that's down to you. It's pretty easy to be competitive if your prices do not include VAT and it's down to your customer to pay VAT on top of the quoted price. Then there is the issue of warranty support to think about and possible postal charges returning things.
Personally I'd rather buy from a Hong Kong dealer with a "No VAT" Guarantee, like Digital Rev (eBay), or Onestop-Digital (off eBay). I've done a fair bit of business with both of them, all without incident. I did get hit for VAT with Digital Rev and simply reclaimed the charges back from the supplier - no problem whatsoever. Digital Rev has a London based support centre and will pay postage both ways for any defective goods. There's also Kerso to consider as an option.
However, I've noticed that the price gap between stuff sourced locally and in the far east seems to be diminishing somewhat, at least if you shop around carefully with your price searches - (Camerapricebuster, Google Products, Pricerunner, eBay).