Seperates is the way to go IMO, even though your budget is tight you can get a starter that can sound reasonable. Do you want 3D or is this not important to you? Consider fleabay too for those 2nd hand bargains & look for ex-display models to be had at knock down prices still with a full warranty.
Here are a few suggestions that add up to around your budget.
Blu-ray player 2D £100 Sony S380, £100 Pioneer BDP330, £100 Panasonic DMPBD65
Blu-ray player: 3D £100 Panasonic DMPBDT100, LG BX580 £120
Speakers: £150-£200 Tannoy SFX 5.1, £150 Jamo A102, ( £200 Q ACOUSTICS 1010i 5.1 speaker package at Manchester RS )
A/V Amps: Sony STRDG810 £200, Denon AVR1911
Best of luck demo what you can.
Regards...