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@jsabine
Edwardes in Camberwell have got a small red racer with 650c wheels on their wall at the moment - saw it the other day but didn't take note of spec or price. Probably over budget, but might be worth giving them a call.
Decathlon are knocking out remaining stock of the red Triban 3 for £250 - smallest sizes have 650c wheels and would probably work. Several friends have one - great value for a new bike at that price and a good ride, though obviously s/h will give you a better spec.
Two small tourers in YACF classifieds recently for about £200, one Orbit and one Roberts, both good spec and bargains at that price. Orbit is flat bar, can't remember about Roberts. (If interested, you need to register to see ads.)