tl; dr - Number 1.
Your Vauxhall is designed with an automatic transmission. The transmission has what's called a torque converter which couples the engine to the transmission. The torque converter has a stall speed. This means it will not throw power/torque at the transmission until the engine gets to a certain speed. Once it reaches the stall speed, power and torque will then start being applied. Stall speed will always be above idle speed. You can therefor leave it in drive while sitting at a red light without worry of damaging any internal parts or causing any extra wear in the transmission, engine, or drive train (as long as you let it idle).
You have to have some sort of braking mechanism for your vehicle. Whether that's the handbrake or the regular brakes, that's what's in question. In this case, you should leave your hand brake alone and use the foot brake. There are a couple of reasons for this. First, this is what the foot brake was designed to do. It was designed to convert your forward momentum into heat through friction to stop the vehicle when needed. Secondly, it's there to hold the vehicle still temporarily while you are waiting to go again, whether it's a stoplight, stop sign, or little kids crossing at a cross walk. Your hand brake was designed to keep the vehicle still for extended periods of time and to assist the parking mechanism within the transmission so there isn't as much pressure on it when engaged (especially on hills and such). It is not designed to be taken on/off at every stop light.
In any case other than number one, you are creating undue wear on mechanical parts for no reason. For the transmission, you'll be wearing out linkage mechanisms faster, as well as internal parts in the valve body (the part which directs the fluid flow within the transmission - the brains of the transmission). For the hand brake, you'll be creating wear on the braking mechanism, the parts which actuates the brake, and the brakes themselves.
Anyway you look at it, your best option is to allow the vehicle to work as designed. Just leave it in gear and apply the foot brake and your vehicle will be fine without causing undue wear and tear on it.