It turns out it`s not a 350D it`s a rebel xt lite with only 6.2mp
No such thing as a Rebel XT Lite. the "Digital Rebel" was the US name for the 300d, the "Rebel XT" was the US name for the 350d. Probably the Digital Rebel.
now I need a decent all round lens to buy. Any suggestions ? I don`t want to spend more than I`ve just payed for the camera mind.
Depends what you want to do with the camera. Are you looking to do wide angle, or do you need a lot of reach? Will you need a 'fast' lens (Wide aperture) or not?
Remember that the body you have bought has a crop factir of 1.6 due to the small sensor, so a 28mm lens on your body will have an effective field of view comparative to a 45mm lens.
This is why the kit lens is 18-55mm - on that body it gives an effective field of view of 29 - 88, 'standard' zooms on 35mm SLRs were normally 28-80mm
Have a look at some of the Sigma / Tamron lenses, they are pretty good value compared to some of the Canon branded ones.
Also, bear in mind that lenses (as long as they are in good nick) keep their value better than bodies - When I got my SLR I bought a few lenses second hand to see what I would use, then sold some of them on again for almost the same value.
A fast prime (non-zoom) lens is alway handy - the 50mm 1.8 is one of the most popular lenses with EOS users - otherwise known as the 'nifty fifty' or the 'plastic fantastic' - it's a 50mm prime lens that is incredibly sharp for the price - you can get it for £50 second hand.
To be honest I'd be tempted to pick up the 18-55 kit lens and see how you get on with that - you'll soon get to know what ranges you use, if you need something wider or something with more zoom range.
If you really want an 'all rounder' - Sigma do a 28-300