Yup, i've been watching alot of Laserdisc movies.
About the picture quality on these things:
A VHS gives you 500 dpi, Laserdisc 700 and DVD 800.
so laserdisc is quite good, and they support THX and DTS sound aswell.
I think £40 is a quite alright price. The only downfall is the laserdisc themselves. They're the size of an LP and are quite heavy
Hope that helps.
P.S. I'm not sure if its called dpi, but the numbers are correct.