I don't consider that Coinstars slice* of whatever you pour into their machines maw to be small, but I suppose that if you factor in your time to bag up a large amount of 1 and 2 pence coins to pay in to a bank or post office then its possibly worth taking the hit for coppers. I wouldn't go anywhere near them for any coins of higher value!
The local Morrisons has a Coinstar, when you've finished chucking in your cash it prints out a voucher which can either be taken to the customer service counter for a cash disbursment, or used to pay for shopping. There's one in a nearby Sainsburys, but I've never looked closely at what the procedure is there.
* According to their website, there is a 25p transaction fee and an 11.5% processing fee for cash transactions