Make sure that, whatever you get, its DVD can be made multi-region.
If you go for something with only one optical input, you'll need an optical splitter, which are cheap from somewhere like Maplin.
If you stretch your budget a little you could get
this. Matches with your TV, and it actually allows you to hide the main unit away and control it from a small box with a screen that sits up with the television. Another potential advantage of this system is that it includes a DVD/HDD recorder, so you could back stuff up from Sky, though only in standard definition and it's not the easiest thing ever. You can also use it as a music server; pop in a CD and have it copy it to its hard drive. I'm pretty sure it can be made multiregion, and it offers a high quality of DVD playback in general.
Crucially, the sound quality is very good for that price, and it has two optical inputs.