I was quit happy last week watching the 26" CRT, but since buying a new 40" I can see what I was really looking at.
Freeview Satellite is highly compressed and uses the dated MPEG-2 codec. The quality would be ok for a 40" if not for the compression.
Turning off overscan should improve the picture quality slightly. Sending the TV an upscaled picture without turning off overscan wouldn't make sense.