The iMac / Mac Mini Equation

I would be very interested in your thoughts on my situation.
I have a 2007 2.33Ghz iMac and have never gotten over the novelty of using OSX Tiger (yes!) since I switched after my Windows PC died.  However I think it is now time for an upgrade.
I am a guitar tutor and currently use my iMac for recording Audio with Garage Band. I would like to start using Logic Pro and am also interested in creating some guitar tuition videos so I would like to able to run Final Cut ProX too.
My computer hardware budget is around £1500 (I'm from UK).
I am very tempted by the 2.6 i7 Mac mini with the SSD (£1,115)  I would also add 16GB of Crucial RAM. (£60). I have my eye on a nice £360  27" inch monitor (DGM IPS 2701 WPH)  which I understand has the same panel as the Apple Thunderbolt display.  Here is review of the monitor:  http://www.tftcentral.co.uk/reviews/dgm_ips-2701wph.htm
My other option is a 2.9Ghz i5 21.5 inch iMac with Fusion Drive and Apple supplied 16GB of Ram.  This is about £100 more expensive than the mini option but I could just about stretch to it.
So here is the equation - For my needs does the i7 of the mini trump the faster (in Ghz terms) i5 of the iMac?  If it does would the discrete graphics card redress the balance?
I need the machine to be quiet and as both machines have only one fan I would guess they would be evenly matched here?  I also have to consider the pros and cons of the displays (and then there's the mini's screen flickering issue which is causing me some concern).
So is it iMac > Mac mini or Mac mini > iMac?
Thanks for your thoughts.

Honestly... I wouln't consider the new iMacs at all, nice & fast, but basically disposable models now, & the Minis have many reported problems if you plan on using the HDMI port. :(
I think myself, I'd look for a Refurb 2011 iMac of good speed.

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