Welcome, Rob.
Pellets - better to try a broad selection of quality dome heads as many guns, even if the same make and model, will have different preferences. However, as a bit of a short list, I'd be trialling H&N Field Target Trophy, RWS Superdomes and the JSB made pellets - JSB Exact Jumbo and RS, Air Arms Diabolo Field, Falcon Accuracy Plus etc.
Weihrauch also market their own in two flavours, one made by H&N and the other by JSB. I haven't tried them myself, so not sure if they're EXACTLY the same as the FTT and Jumbo or slightly different?
Better to try a few, but if I were to pick just the one initially, it'd be the FTT.
Scope. A lot depends on what features you desire. If you're happy with fixed magnification, you'd hope that more of the money is being spent on the quality of the lenses as opposed to extra features. Adjustable parallax, to my mind, a good idea. On the budget scopes, this will be in the form of a rotating objective bell, nominated "AO". Different people seem to prefer different glass. At this end of the market, I prefer Nikko Stirlings. And your budget might just net you an Air King Gold Crown.
Also have a look on our sponsor's site - JS Ramsbottom; usually an excellent selection of very good scopes at sensible money. They do pellets, too.