Have a look at Which Best Buys Digital Cameras - rather long link below.
I'd recommend narrowing the search and look at the Canon Powershot, Panasonic Lumix or Nikon Coolpix ranges.
Think about how important the quality of the photo is to you - do you want to produce high resolution images every time?
Do you want to be able to zoom over a longer distance?
Optical zooms are better (imo) than digital zooms because the optical zoom does not reduce the quality of the image but digital zoom does.
Re the batteries a rechargeable battery that comes with the camera and a charger I think is a must and if you can afford to buy a spare battery so you always have back up to hand all the better.
As Scouser2 says you can do an awful lot to any photo these days with the aid of software too.
http://www.which.co.uk/technology/photography/reviews/digital-cameras/?source_code=610CQJ&CMP=KNC-GOOGLE&_$ja=kw:best+cameras+to+buy|cgn:Technology%7c%7cPhotography%7c%7cCameras+%26+SLRs%7c%7cSearch%7c%7cCamera+Generic%7c%7cBest+Camera|cgid:1828708481|tsid:21615|cn:Technology%7c%7cPhotography%7c%7cCameras+%26+SLRs%7c%7cSearch|cid:53288081|lid:2682303697|mt:Broad|nw:search|crid:6804180641