Not too long ago I also tooka a bank loan of a similar amount to pay my overdraft and purchase some studio equipment.

This is what I got for around £1500 (I already had a pc and have since purchased a new one and soundcard).

Access Virus B - £700
Samson Servo 170 - £around £160
Abs 2's - Around £180
Behringer MX2004a Mixer - £140 2nd hand
EMu Esi 4000 Turbo with Zip - £550 2nd hand

This was all in March 2000, whilst it would be nice to purchase better monitors and mixer its also nice to have a good PC and maybe some synths a sampler etc.

If blow your entire budget on mixer monitors and amp yur not really going to have much to work with. You could also look at picking up 1 or 2 cheap synths on ebay or loot... Maybe a sh101, Juno and then something a bit newer like a Pulse or Q.

At least then you could get Mixer, Amp, Monitors, Sampler couple synths and a DBx 266Xl from turnket too £99 new.

Just a suggestion though.