As a user of a HTC running winmo 6.5 with Toch Flo over it in normal day to day activities you will go no where near default windows "that needs a stylus". If you use the phone for emails, text, phone calls, music, videos, pictures ect it is all handled by the UI, in most areas you will need to go about 3 levels down before you touch winmo. On the new versions of Touch Flo (HD2 uses 2.5 or Sense UI which is the same as the Hero) even the settings has been replaced by a HTC settings option.
Just updated the rom on my Hero to the latest one from HTC's site - holy smoke, what a difference! Much quicker, much more slick than out-of-the-box, no more little bits of lag here and there, just rapido!
Very highly recommended.
I got a Nokia 5800 (xpress music) the other week. I like it.
£360 is a fair price. Not seen it much cheaper than that.... unless you could get a t-mobile branded pay as you go one? I know the orange branded one's sell for £330 ish.