Great news that you've received something.....an admission of guilt if ever there was one. You've got back only slightly more than half of what was due to you...of course it's up to you but are you happy knowing he's still made quite a hefty profit from you (and probably from many more before you).

Personally I'd want to write back and say "Thank you for the cheque you sent, however it falls short of the amount actually owed by £130. You have 14 days in which to pay the remaining balance of what is owed to me, faulire to do so will result in my taking matters further via the small claims court."

Ultimately it's up to you, whether you feel it's worth the hassle or not.....but you've got this far, how much better would you feel if you got the full amount? Good luck with whatever you decide.