has my head gasket gone?

[dridgy]

Ive got a 1.6 na diesel, which ive been running without the thermostat in.
Any way the neeedle on the temp gauge barley moves because of the missing thermostat. ive been using it like this for about a year and its been runing great, but last night i drove over to my uncles and when i got there, water was leaking out from under the van and the temp gauge had gone up to half way, i looked at the engine and water was seeping out with a bit of force from around the rad cap on the expansion bottle, i took of the rad cap and all this foamy stuff came out, just like washing up liquid when its foamed up, today i flushed the cooling system completely, until the water was clear, but again after its been running for a while all the foam builds up and overflows from the top of the expansion bottle?
is it time i got new engine?
any help appreciated.
thanks.

[Kermit]

Could possibly be the head gasket yes, but do some further checks first.

What is the condition of the oil in the engine? has ths been turned a funny colour (water in the oil) then get a compression test test done.

Kerr