Really nice design but the sharp rise in price in the UK for nothing other than a new design and better graphics does make it look like very poor value.
Choose the 2.66Ghz option, 4GB of RAM and the 500GB hard drive (very reasonable for a desktop computer) and you hit £932.01. £36.99 extra would buy you a 21.5" iMac with a 15% faster CPU, same RAM, same HDD, slightly poorer graphics but an LED IPS high res screen, mouse and keyboard all to boot. Hell, if you add the magic mouse and keyboard to the Mac Mini's spec then the 21.5" iMac comes out at £48.01 cheaper.
As nice as the new Mac Mini design is, the £649 model should have been £449 at the most.