Vikki.
Certainly a step in the right direction from your existing speakers, i heard the 2's some time ago now and all i can say is at the 800.00 or so i just don't recall them setting my world on fire.
Try here for a "bargain"?
http://www.creative-audio.co.uk/concerto2.htm
That range does not support the eponymous Uni-Q drivers, which is perhaps (one of) Kef's strong suits, (love 'em or loathe 'em etc), but obviously does not preclude from being great speakers.
I would still say that as far as kef and your budget goes the Ref 1.2 are the best musical performers (IMHO better than the RDM3 when taken as a stereo pair despite other post's to the contrary)
The older Kef ref range (if you have not heard them) is much more "neutral"?? than the replacement range (which to me is a radical departure in tonality) they are not nearly so forward but in no way lacking in detail (The Higher range Kef's have always been "good" on detail) The 1.2's are not blessed with exemplary bass extention but if i may say so based on what i have heard of some of the 600 range i would be of the opinion that the definition and integration of the bass would be an acceptable trade off against absolute extension (you have a Rel).
I would still be surprised if you became a Kef owner.
What has happened to the BW 600 devotion?
Please accept this as a genuine comment, i would hope that it would be recieved as such, but can i say that i observed that you seem to be someone who has a sensible and passionate approach to the subject in hand and although it is not my place to tell you how/why/whatever, in this instance you seem to be going in the right direction by something of a mild jump.
If i have learned anything from all this it is that moving from a MS csi to a MS1000 and from a Kef100c to a 23C etc etc whilst certainly a "mild" jump in the right direction, did not, eventually turn out to be ecomonically (or in fact aurally) satisfying in the long run.
Whilst we all have our (financial) limitations, i would recommend the step to Kef Ref (or similar previously suggested aternatives at the same level of quality) to be a "minimum"? level of up-grade. You seem to be one who appreciates such items/thoughts/speakers?.
Not the "best" source for reviews but a point in the right direction at least:
http://www.hifichoice.co.uk/review_read.asp?ID=1101
Or, from a more esoteric source (page down to Oct 2000 -1.2 NOT Ref1's - a short appraisal):
http://www.hi-fiworld.co.uk/hfw/bgspeakers3.html
Regards
Steve.