In reply to GravitySucks:
Agree that, if a competent friend can be roped in to help check out the purchase, a second hand guitar could be a pretty good call. Don't forget to factor an amp of some sort into the equation! It might be worth really scrimping on this - perhaps the £30 Marshall micro amp - because it'll be enough to decide if he wants to keep it up, and not a huge loss when you sell it to buy a better one...
Definitely let his musical taste influence the choice of guitar, and let him spend a fun afternoon in a shop trying them all out - what feels best will, indeed, be best. Might be worth thinking that if he's inclined to heavier rock, something with humbucking pickups (SG, Les Paul) might be more appropriate than something with single coils (strat, tele). And if he has small hands, the slightly shorter scale length of the SG or Les Paul might be easier (also, of the two, the SG will be lighter).
If he does prefer single coil tones, at the budget end I would tend more towards the tele than the strat, just because cheap tremolo units can be really poor at keeping tune - the simpler design of the tele is a bit more robust.
Having said all that, my first guitar was a strat copy, my second a squier strat, and my favourite ever is the '78 strat I still own!