What lenses for my D700?

I've done a fair amount of research, but too much information has proved a bit detrimental. I'm a uni student so I don't have a big budget - but I also don't want a rubbish lens (for example, the AF-s Nikkor 55-200 DX proved to be pretty naff with my D60). I already have a micro-nikkor 55mm, but I would like a lens with autofocus. I mostly do portrait/fashion work. Would love to hear some suggestions.
Added (1). Ps. When I say I don't have a big budget - I mean I can't go over £300! I don't mind buying second hand tho.

The best focal length for shooting portraits would be either the 85 mm or 105 mm lenses.
Full frame cameras shooters use the 70-200 mm f/2.8 as a compromise so they can cover more than just portraits.

As an avid landscape photographer, I have been pleased with the convenience of the Nikkor 18-200VR on my D300 (which I absolutely love!). But I have been hoping to get sharper images and greater focal range by switching over to the new Nikkor 16-85VR paired with the 70-300VR. Overall I'm very pleased with the 16-85. My initial observations:
- I noticed a significant improvement in the exposure of landscape shots (not as dramatic on indoor shots). Outdoors, I regularly shot with a -.7 adjustment as images tented to be slightly over-exposed with the 18-200. With the 16-85 lens the images came out with much improved exposure. Images just look better to the eye and as noted in comparative histograms from many test shots.
- Ditto with improved color accuracy. I was pleasantly surprised to see how much better colors were captured with this lens. Again, this is most noticeable in outdoor images.
- Improved image sharpness was not as pronounced as hoped but at least equalled or exceeded 18-200 in most instances with a shutter speed of at least 1/20 sec. Surprisingly my initial test shots revealed that between 1/6 to 1/20 the VR was just comparable or in some instances not quite as good as the 18-200 across all focal lengths from 18-85. I often end up shooting at slow speeds and have been impressed with the ability to shoot so low with VRII in the 18-200 and the 16-85.
- Balance is better with 18-200. Perhaps this is a minor nit, but for handheld shots, the D300 seems slightly better balanced with the larger 18-200 than with the 16-85. Perhaps this allows for a steadier hand at slow shooting speeds. (note: I realize this may be simpily a matter of having become so comfortable with the feel of the 18-200 on a D300 and this nit may go away the more I use the 16-85.)
- The extra 2 degrees of wide angle is nice and looks like it will mean not having to switch over to my 12-24mm zoom quite as much.
- The lens action is comparable to the 18-200 - but NO barrel creep. Shooting with the lens barrel angled down in no problem with the 16-85.
Overall this is a nice lens which I plan to keep because it delivers such noticeable accuracy improvements in exposure and color… Plus the extra 2 degrees and no barrel creep.

Portraits on full frame, a 50mm or 85mm would do nicely, either f1.8 or f1.4. As a general purpose zoom I'd advice you to look for the old nikon 28-105. Nice allrounder which will provide a useful range on a d700. I shoot it on the D300 and am quite fond of it. Expect to pay around $160-$180 for a nice copy. Here's some of my work with it:
Alternatively but much more expensive, the tokina 50-135 f2.8. ()

I would consider Nikon 1, 4/50mm Nikkor AF-S 1, 4/50mm G Lens
Technical Details
Product Description: Nikon Nikkor lens - 50 mm
Lens System: Lens
Intended For: 35mm SLR, digital SLR
Mounting Type: Nikon F
Lens Aperture: F/1.4
Focal Length: 50 mm
Min Focus Range: 45 cm
Focus Adjustment: Automatic, manual
Lens Construction: 7 group(s) / 8 element(s)
Length: 5.4 cm
Weight: 230 g