If I were given the option of a P&S and a DSLR I would choose the DSLR every time. I have purchased three P&S cameras over the last couple of years so I could have one handy for for good photos of grandchildren etc, but I am never happy with the results. The still photos are fine but any action photos are blurry 9 our of 10 photos. Re a DSLR, it depends how much photography and how passionate you are about photography. I see that you have been to the UK and Africa so you are well travelled. We have recently come back from a trip the South Africa where we visited Kruger and Pilanesberg and I took my Canon 50D, Canon 100-400 lens and a Canon 18-200 lens and I know I would never have been happy with a P&S. If you can still use the 300D as you say, I would save for another DSLR and I know from experience, that there is a big difference in quality from the lower end Canon to the upper range. I decided to go mid range with the 50D but after it decided to stop taking photos the day before we left South Africa (thank goodness it was not during the trip), I have now purchased a 7D. I have put my 50D into Canon today for servicing and depending on repair costs, I will keep it as a second camera especially if we travel to Africa again. I found that sometimes the 100-400 zoom was not appropriate, as the animals were too close and it would have been great to have another camera with my 18-200 ready for such occasions. You can also pick up good quality cameras new and used on Fleabay (not sure if you can advertise the real name LOL). I have bought a lot of my equipment on there without any trouble at almost half the price. I hope I am not sounding too pushy as I have trouble explaining what I mean in the right words.
You can see some of my photos on Flickr if you wish.
http://www.flickr.com/photos/8364607...7630565377456/