Turns out that Apple keep all their old system software, and I found it via www.pure-mac.com/appud.html.
Here's the link. Just download. Even though the files are of the format and file type xyz.smi.bin they still open, even on Snow Leopard.
Double click the .bin file and it decompresses to the .smi
Then double click the .smi and it loads just like a regular disk image
Inside the image is the system images that you needed to create to re-install OS7. Yep all five of them totalling about 5MB!
And then, inside the fonts image are the System 7 fonts
BTW here's OS9 loading... such a blast from the past!