A lot of lower-end accommodation options in Kuala Lumpur for backpackers and people/families on a budget are quite poor (bed bugs being a common complaint). For £20-24 you can get a double room at the Swiss Inn, located right in the heart of vibrant Chinatown, close to Central Market and importantly, light rail inter-city transport links. It represents a great value option and comes with an excellent buffet breakfast. Room has TV and tea making facilities etc. Book online for some decent deals. No extra cost for children though they do not provide an extra bed.
Updates
We revisited the Inn in January 2009. The rooms have had quite a makeover, with flat screen TVs, wooden floors and walk-in showers. Prices remain as they were but current exchange rates give you less for the pound in Malaysia. Breakfast was really poor this time but again can say that the location is excellent and the rooms remain great value.
Is this your business?