Problem with Outlook 10

I have been having issues with Microsoft Outlook that came with Office 2010,
I am able to receive emails when I log into my domain name client but I
am unable to send emails,

I have tried so many different things and I am
missing something as it just wont marry up together,


So far I have entered the Incoming Server details (from Namesco)
pop3.hosts.co.uk plus my username and password that Namesco emailed me,

I am signed up with Sky broadband and when it asks me for the smtp is enter the details they provided:


SMTP: smtp.sky.(Plus I have tried smtp.tools.sky.com),


When it then sends a test email the first "sending emai" ticks with a green tick, the I reveice a message:


Send test email message:Outlook cannot connect to your SMTP email server
If you continue receiving this message contact your server administrator your (ISP) service provider

or

Send text email message:Cannot find the email server: Verify the account properties in the account properties:

When I click on the more settings & go to the Outgoing Server. it
says (but is not clicked) My outgoing Server requires identification


The next option is: Connection (nothing apart from the following has
been clicked on this page) Connect using my Local Area Connection (LAN)
Connection

Next Option is:

Advanced:
Server Port Numbers: Incoming Server POP3 - 110
This server requires authentification: (Not checked)

Outgoing (SMTP): 25

Use the following type of encrypted Connection: None


Then the rest of the guff is about leaving the messages for 14 days etc, etc, so not important I believe


My other settings when I start are my user name and password given me by
Namesco after opened my website plud I dont want to just log into
Namesco and forward everything to my Gmail account I need a dedicated
inbox like I used to have with Outlook Express,

I really hope someone can help and I have provided as much info as there is on the screen,

Cheers

Rob