I was looking to increase the storage for my picasa web albums. Google are providing 20 gb to be shared between gmail and picasa for 5$ a year. With the current exchange rate, works out to be just above 3 pounds.
I know that one could create multiple picasa accounts and link them for free (you get 1gb free picasa storage for every account). This will be useful for people who want to upload high resolution images under one album.
This is the cheapest image storage price that I am aware of (plz feel free to suggest better options).
Actual cost is £3.54 ($5 + $0.75 tax)