Advice on Upgrading from Nvidia GeForce 7500 LE

Hey im not very good with computers, but im wanting to upgrade my Graphics card to play some newer games, can someone please advise me on a few options. Thanks.

My Specs:

Operating System
MS Windows XP Professional 32-bit SP3
CPU
Intel Core 2 Duo E4400 @ 2.00GHz 42 °C
Conroe 65nm Technology
RAM
2,00 GB Single-Channel DDR2 @ 266MHz (4-4-4-12)
Motherboard
Packard Bell BV PT890-8237A (Socket 775) 29 °C
Graphics
Default Monitor (1024x768@60Hz)
64MB GeForce 7500 LE (Sapphire/PCPartner) 63 °C
Optical Drives
PIONEER DVD-RW DVR-116D
YN9111F URN204H SCSI CdRom Device
YN9111F URN204H SCSI CdRom Device
Audio
Realtek High Definition Audio

Packard Bell - iMedia 8500T

Thats the case if needed, not the same insides but same case.

My budget is about £150/$244, i aint too bothered about it looking amazing, just descent and smooth.

I just play classic games mainly when i feel the urge to play the likes of Black & White, AOE 3, most strategies.

But i do want to play other games its just they lagg too much so i presume my system cant handle it, hence the upgrade.


If you could recommend a decent PSU+Graphics Card that would be great.