I don't know about iTunes specifically, but a quick search says their SD resolution is 853x480 (16:9) progressive (each frame is drawn in full).
DVD in PAL (what's used in the UK) is 720x576 anamorphic (pixels are not square) and interlaced (only half a frame is drawn at a time) at 25 Hz. Basically 720x288 @ 25 fps - it'll look to the eye like it's 720x576, but it only contains as much detail as 720x288.
DVD in NTSC (what's used in the US) is 720x480 anamorphic and interlaced at 29.97 Hz. Basically 720x240 @ 29.97 fps in terms of detail.
So the SD version should be better - 853x480 @ 30 or 60 fps - assuming it's a high-quality encode (from a high-res source with little to no compression). An exception would be if the source was PAL or NTSC interlaced, and the SD encode used a poorer de-interlacer than your TV or DVD player. In that case, having your equipment upscale the original interlaced source can yield a superior picture.
FWIW, I assume you're not buying blu-rays from the U.S. and having them shipped overseas because the region encoding would prevent you from playing it. When I run into Hollywood stupidity like that, I just buy the blu-ray (so the show's creators can't complain they're not getting paid), then just download a pirated FHD rip.