You're not alone, I'm a bit of a night owl too. Being a freelancer I seem to have got myself into the habit of getting up late and working till 3 or 4 in the morning. I often pop out at midnight for a quick 20 miles or so. Quiet roads and clean crisp air. I love it, especially in summer, though I do often spook myself if I'm out in the country. I find it hard not to imagine escaped convicts/psychos, werewolves and other nightmarish creatures lurking in the bushes every time I hear a noise, though it does tend to keep the average speed up.
On the subject of lights, the Smart 1/2 watt rear light gets good reviews. I don't have one myself but will probably get one this winter. If you can afford it, then two rear lights are better than one. I'm currently using an old Specialized Vegas and a Topeak 3 LED thing.
With front lights it'll depend on where you are doing the riding. If it's all city street stuff, then a half decent LED will do the job as street lights should give plenty light to see by, so you only need something so others can see you. £10-£20 will get you something that'll do the job.
If you're heading out into the country with no street lights though, then you are going to need something much better to see by. Smart's range of halogen lights come with decent reviews and similarly the Electron 5w/10w system which I owned previously are pretty good when it's pitch black.
If you can afford it though, £100+ will get you something almost as good as daylight. I've got the AyUp roadie lights, which at about £150 are quite pricey but worth every penny. They are absolutely tiny, lightweight, amazingly well built and bright as f**k. Completely transformed my night riding. I can ride much faster and more safely than I could with the previous Electron halogens.
Oh, and watch out for small animals. It's amazing the amount of wildlife that makes an appearance once the sun goes down and all is quiet. Hitting a rat at 25mph in the dark will test your handling skills to the extreme.
