Just a few questions that you might consider?
Mill Aluminium (or brass) – no worries about magnetism?
Use carbide end mills – no worries about magnetism?
Use carbide insert tooling – cooling generally unnecessary for hobby work?
Use flood cooling – would be much cheaper than £360 for a compressor?
Make a connection to the outlet of your vacuum cleaner?
I would be surprised if the other user gets 25l/minute at any decent pressure (work it out?)
Surely the issue of blasting swarf all around the place could be overcome by use of a valve?
My conclusion is that huge air blasts are not really required for hobbyists. My compressed air receiver contains over a thousand litres of free air. It does not take long to fill. It lives in a separate area to my workshop, is not that noisy (I don’t need ear defenders while it is running!) but I still use just use cutting oil as that is sufficient for most duties (it reduces the heat generated during cutting and cools the work – magnetism is not a problem I have very often (even when cutting steel. I do have a demagnetiser but have not used it for end mills.
I recommend you replace your noisy compressor if it runs continuously at the required rate because it’s probably worn out.
Water has a specific heat content four times that of air. That is increased hugely if that water is evaporated (Latent Heat of change of state). That is why many use mist cooling, not compressed air only, if cooling is required.