How to build the ultimate credit-crunch home cinema system (part 1)

Even when the credit crunch starts to bite you really don't need to compromise in your quest for high-performance kit.

HCC auditions hundreds of components a year in a ceaseless search to find the best-performing AV gear in the land. But what kit stands out from the crowd without breaking the bank?

In Part One of a two-part credit-crunch special we set about assembling the UK's best-performing budget-friendly AV setup.

The source
Trying to choose a giant-killing disc-spinner is both a blessing and a burden. With so many players (covering both DVD and Blu-ray) to choose from, how do you narrow it down to just one? Blu-ray players are dropping considerably in price now but the obvious choice remains Sony's PlayStation 3. It's futureproof, being compatible with Blu-ray all the way up to Profile 2.0; it plays HD content; it spins DVDs at 1080p, and is even compatible with DivX and XviD video files. The latest iteration also has an 80GB HDD.

To be hyper-critical, the PS3’s Blu-ray disc playback isn't as good as the best dedicated BD decks (such as Panasonic's DMP-BD55), but we’ve yet to find a disc that didn’t spin on it and it has the significant blessing of being fast with BD Java heavy platters.

All high-res soundtracks are converted to multichannel linear PCM and routed to a waiting receiver or amplifer via HDMI. We do recommend that you invest a further £18 for the official remote control as you won't really want to use the Sixaxis controllers to access movie content. Wireless they may be, but they are rubbish when it comes to navigation

The receiver
Choosing a killer budget amplifier isn’t that difficult. The sub-£400 amplifier market is hotter than Felicity Kendall sucking a chilli. Onkyo has the TX-SR606, Sony the Stonking STR-DG820 and Panasonic the all-digital SA-0BX500. But lurking in the bargain bins is another must-audition model, Sony's STR-DG910 receiver. The DG910 comes to the table packed with features and flexibility.

Way less than £300 gets you 100W across all seven channels, future-proof HDMI connectivity, and a DM Port for PC, Bluetooth, network and iPod integration. The Digital Cinema Auto Calibration will fine tune your room acoustics and if you have a Bravia TV there are a host of TV-sync features too.

The Sony lacks onboard decoding for Dolby TrueHD or DTS HD Master Audio, doesn't offer HDMI upscaling and is stoically single room/single zone with a dull onscreen display. But given that it does do LPCM means that HD-audio decoding can be left to the PS3, HDMI upscaling is a moot point given that all HD TVs and projectors have them anyway, and just how many rooms do you need cinema sound in anyway?

The TV
A strong contender for a true value winner is Samsung's PS50P96FD. This plasma TV unfeasibly manages to combine a 50in screen with stunning good looks, Full HD resolution and cracking image quality. But when funds are tight, a smaller screen is probably the way to go.

Sharp's LC-32X20E was the UK's first Full HD 32in TV, and you can really appreciate the benefits of Full HD resolution over an HD Ready one on a killer BD movie or HD games title.

Obviously all the Full HD strengths in the world won't save a TV if it falls badly at other picture hurdles. Thankfully, the 32X20E's black levels are solid, while its colours are engagingly rich and bright.

in Part Two, we ransack the bargain bins for speakers and a projector - then fire the whole thing up...