If you just want a good photo editing software then
Corel's Paintshop Pro is excellent value for money. It has an excellent wizard for fixing red eye..
If you want the full fancy smanshy stuffed full of all sorts of artistic goodness and you have extremely deep pockets($900-$1700) then Adobe's Photoshop Pro is for you..the cheaper less full on version is Photoshop Elements which is good value for money as well.(£100)
If you go for free then the Gimp is similar to Photoshop and there are so many free applications offered free with new digital cameras or on the various free to try or downloads link pages that Google or Yahoo is your friend..It really all depends what you are after.