I am in the same situation as you. I planned to get a 32" LCD but I decided I'd rather get a bigger plasma.
I know you want a 42" screen (me too!), but I've been recommended to strongly consider the Panasonic TH-37PE50B. It is a 37" Plasma which has had very good reviews.
You can get it for £1,110 from Lets Go Digital (search Google for their website). I know that is beyond your budget, but for that price you get a wall mount and a DVD recorder included in the deal. So in reality the TV itself is actually costing you less than £1,000.
The Panasonic has an inbuilt Freeview tuner, so that's worth bearing in mind.
I'm strongly considering purchasing one. I know a lot of people on the boards who are very happy with it. I'd be interested to hear what other options there are though. I've seen some 42" plasmas for less than a grand, but they're usually low spec or "unknown" manufacturers.
If you spend too little on a plasma, you'll really end up paying a bigger price when you get it home and turn it on If you want a 42" then expect to pay more than a grand. Either that or go for a 37 incher.
Southpaw, as mentioned already you will struggle to get a decent 42" plasma for a grand. The best bang for buck is the 42PWD7 from richersounds but by the time you add on a wall bracket and an input board you are looking at closer to £1200. They do the 37" model for £899 so add £200 for a scart board and wall bracket and you are still £100 over budget.
Why not go for the relisys 42" plasma it has an excellent picture and sound 2 year warranty comes with stand and speakers loads of inputs inc dvi hd compatible but i wasnt arse with sky`s hd package i aint got $ this tv is equal on par to most of the big guns pioneer sony panasonic etc £1100 i paid from ebuyer think price has come down slightly now too pic