Why do you want an iPod Photo? Do you need the ability to tote photos around with you and view them on the iPod screen? (Or on a TV if you carry the Photo Dock with you).
A 40Gb 4th Generation iPod comes in at £299 direct from Apple, the iPod Photo weighs in at £359.
The 4G can still be used as an external disk (even bootable if used on a Mac) and will thus store photos if that it was you want to do with it. You can use the
Belkin Media Reader, but some prefer to use the
Delkin USB Bridge.
I got both my 4G 40Gb and my wife's Mini direct from Apple - mine shipped from the UK, whilst the Mini came directly from China as I had it engraved by Apple (was free until Christmas).
You might find that even the 20Gb unit is more than sufficient, I have ripped almost every CD I own (128k AAC files) and am just scraping 5Gb - for the more Audiophillic out there, 128k does me just fine!

)
Just beware the slippery slope of Apple - I currently await the delivery of a shiny new iBook!
Dom