₤350 i3 pc

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I'm trying to put together an HTPC/general-use-pc to a budget of about ₤350.

Prerequisites:
Mother board has to be mini-atx (17x17cm) 1155, have one HDMI out and one PCIE slot. Intel i3, 4gb ram, 128gb ssd (samsung830).

I'll be looking for as small a case i possibly can, but the one that can fit an optical drive and later a better graphics card along and comes with PSU.

At the moment i'm googling the proverbial brown out of the internet for components, but i'd really appreciate some input to narrow down bits and pieces.

What i'm trying to achieve ? Trying to squeeze out more power than Zotac AD04 box has to offer for the same money. I'm digging it but i dont think i like E450's lack of cpu power and expansion options. Zotac AD04 + 8gb ram + 128gb Sammy 830 ssd = ₤345 at the moment. I'm trying to top that in terms of power and some increase in size (but not to standard ATX pc)...

Also need advice on small graphics cards that would top E450's capabilities, i understand power requirements will increase. That is for future update, just exploring my options here. Not as much for 3d games as for MAME and emu's. Graphics card does not factor into ₤350 budget...

@Moderators: please don't move this to small form factor, i'm throwing this out as a general question, will amend if requested. Thanks...

#Edit1# Now that i think of it it may even be AMD. Its not top performance pc so could be anything as long as it performs better than E450...
 
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Suppose 128gb SSD and 8gb RAM is sorted, that leaves me with £239 for CPU (or APU), motherboard and case+psu.

Also, i missed the fact that i cant fit vertical case where it is going...
 
I only have about 20cm height to play with. And even that will be a bit much...
I need something...emmm... squat ? I'm not sure, i'm still looking at all sorts of cases to see whats possible.
 
I can appreciate that. There's nothing to rearrange :D
Just measured the "furniture", i have 220mm height total. Anything higher than that simply wont physically fit in... I like that TT case :D
 
How's that ?
I didnt take a case, i'll try to cram it all into n small HP pavillion case (s5000, 220w psu).
If that doesn't work i'll just get a case.

Any criticism on Asrock mobo ? Chose it as its cheapest with HDMI out.

YOUR BASKET
1 x Intel Core i3-2120 3.30GHz (Sandybridge) Socket LGA1155 Processor - Retail £101.99
1 x Samsung 128GB SSD 830 Desktop Series SATA 6Gb/s KIT with Norton Ghost - (MZ-7PC128D/EU) £89.99
1 x ASRock H61M/U3S3 Intel H61 (Socket 1155) DDR3 Micro Motherboard £47.99
1 x OcUK Value 8GB (2x4GB) DDR3 PC3-10666C9 1333MHz Low-Voltage Dual Channel Kit £29.99
1 x Akasa AK-CC7118HP01 K25 Low Profile CPU Cooler (Socket LGA775/LGA1155/LGA1156) £11.99
Total : £293.34 (includes shipping : £9.50).

 
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