Im not sure but to me £12 per month seems a bit expensive for a starter package, and I cant seem to see what is included in there as what I consider important for hosting such as disk space, monthly bandwidth use, can you use php? does it include databases?
What you appear to be paying for with this package is the website design software and how everything is 'all-in-one". For a new-comer to publishing their first website then £12 is probably worth it for ease.
I think
namesco do a similar site building package for about £6. Ive not used either companies so I cant comment on what their actual hosting is like.
The other alternative if you wish to save money is a starter package from somewhere like
vidahost. This doesnt include website design but does include free installation packages for software like
wordpress and
magento shopping cart which is used by many online businesses.
If its the website design aspect that concerns you then there are free web design packages that can be downloaded to your PC such as
serif, but you can pay for more advanced software too.
I myself personally prefer to pay one off for the software & make my own hosting arrangements, as in the long term its much cheaper and doesn't tie you to one particular host.
At the end of the day its going to be what's going to be simplest for
you. If one of the all-in-one site builders is going to save you a lot of time and hassle then then its possibly worth paying a small premium for it.