Sorry I am maybe wrong, although I said SD picture I thought this maybe included a standard DVD picture? I dunno, I am a little cr*p with tv's. Anyway

Standard picture on a DVD player using a scart lead (A good one) the picture is terrible.
I have not tested through Sky tv or anything, I dont see it being much better at a guess.
The TV itself is lovely, daughter loves it, If I attempted to remove it from her room there would be war
Must try a HDMI DVD player and see if that helps, scarts really are dated arnt they?