I'm a bit strapped for time this morning but I've thrown up a PCpartpicker list here. I've been pretty quick with my brand selection so you can shop around for, say, a different brand motherboard or GPU.
It's about £100 over your budget but in all honesty I wouldn't go for a gaming rig for £500 unless you use second hand parts. You'll be able to save some money here and there by lowering your RAM to 8GB (but only £20 or so), smaller wattage PSU and a smaller HD. You could go for an AMD CPU but I've got no experience of the latest models so wouldn't stand over them, someone else might though.
Finally, you could knock down the GPU to a 950 or AMD equivalent but, again, I've got no experience with them and wouldn't recommend an entry level GPU for a gaming system. If you don't plan to game much on it then knock yourself out. :)
I built a similar system (i5, 16GB RAM, 960, mech hard drive) for a friend recently and he's super happy with it. You'll not get 1080p/60 on Ultra on the latest AAA graphics hogs but it's a capable system with upgrade potential.
Edited to change the case which now has front USB 3 ports and is slightly cheaper, and a shorter 960 which means you shouldn't lost drive space. Told you I was in a rush!
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