Andrew hits the nail on the head here - the source content is as much of an issue as the scaler, Even the best scalar in the world will struggle with a low-res original (think trying to fill a PC screen with a tiny digital photo), which sadly is what some digital channels pump out.
However, last night I was perfectly happy watching a programme originally shot in HD being shown on E4 (non HD) via Sky HD (and that's on an 80in projection screen). Switching to a native-HD show on Sky One HD was an improvement, mind you.
I think an amp like the Onkyo offers both performance and convenience, though. Yes, it probably won't go a huge amount for bad Freeview, but if you've got other sources - DVD player, games console, camcorder - you've got the chance to boost them AND cut down on the cabling to your screen.
Clare Newsome is Editor-in-Chief of What Hi-fi? Sound and Vision