FWIW, I mostly agree with Ray. Whether or not you will see VSR with the original valves & seats depends on a lot of factors. Many, if not most will never have a problem if the engine was ever run on unleaded fuel and you don't grind (resurface) the valve seats. Some don't even have trouble after grinding the seats. I've laid down a whole lotta TR miles on unleaded fuel and only had trouble with VSR twice (once with the head shown above, still not sure what it's problem was) and once with the current TR3 (which may have never been run on leaded fuel, not sure since it was a "barn find").
And as Don's photo so graphically shows, replacing the seats carries a certain amount of risk, too.
Just as a side comment, the piston rings are critical to engine performance, and the cylinder walls won't necessarily show a problem with the rings. They are also a consumable, meaning you know they are going to wear out eventually.
Obviously the choice is up to you and your pocketbook; but my decision would be between only two options : either button it back up with just a new head gasket and drive until something bad happens; or else tear it down, check everything, and replace or remachine anything that is significantly worn.
I chose the first option with my current TR3, mostly because I was impatient to get it back on the road in time for VTR/TRfest. I still plan to rebuild the engine (or perhaps build another one to go in, so I can keep driving the car in the meantime); and I have had a few problems with it; but I am still not sorry I decided to go that way. YMMV of course.