Check out the Web 2.0 Awards for 2008.
It has some great websites listed. The only downside is that they are mostly USA-based.
I was instantly intrigued by the LuLu website featured under 'Books - 1st prize'. It is a self-publishing website where members can sign up and create a digital copy of their book, album or artwork. Lulu will print, bind, market and sell on their members' behalf, or assign an ISBN number and you can market them yourself. However, it is a US site.
There are many, many tools and useful sites to look through, and no doubt many will have their place in a Library 2.0 environment.
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