Television dilemma - how big do you go??

[Housemum]

I have finally decided to create some floor space by swapping our old 32" mahoosive TV for a new slim one. On a budget of around £500 (though would rather spend less) we could get a Panasonic 42" plasma (the most expensive at £553+) <a class="break-all" href="http://www.which.co.uk/technology/tv-and-dvd/reviews/lcd-and-plasma-tv/panasonic-viera-tx-p42s20/review/www.which.co.uk/technology/tv-and-dvd/reviews/lcd-and-plasma-tv/panasonic-viera-tx-p42s20/review/" rel="nofollow" target="_blank">Panasonic, or for £500 a Samsung 40" LCD Samsung and finally for £399 a Sony 32" LCD Sony ignore price on this page

I have happily lived with a 32" TV for years, but the world and his wife seem to be getting bigger and bigger tellies - aaargh, totally confused now!

What would you do?

(We have a reasonable sized living room but not huge, a standard 3/4 bed modern house)

Personally I hate televisions which dominate the whole room. It should be a living room with a telly in it, not a telly room.

I have a very nice Panasonic Viera. There were two at the same size, with different prices - it turns out the difference is the sound quality.

For me, choosing the better sound quality over going up a size was a no-brainer.

Where have you found that Sony 32" for £399, housemum?

We're looking for a new TV as well.