gb:
The Multi-contrast filters are used with Multi-contrast (also known as variable contrast) paper.
Multi-Contrast paper has an emulsion with two main layers - a layer that is a high contrast component, and is sensitive to one colour of light (blue), and a layer that is a low contrast component, and is sensitive to another colour of light (green).
The filters are generally purchased in sets, and the different filters each allow a different mix of colour to pass through them. By adjusting the filter, you adjust the relative amounts of the green and blue light that passes, and by doing so you adjust the contrast of your image.
A lower number filter (e.g. O) will be quite yellow, and will therefore block much of the blue light, and let the green light pass relatively unchanged - thus giving you a low contrast print.
A higher number filter (e.g. 5) will be quite magenta (purple) and will therefore block much of the green light, and let the blue light pass relatively unchanged - thus giving you a high contrast print.
Some people don't use the intermediate numbers - instead they use split grade filtering. They do at least two separate exposures, with one through a very low filter number to set the exposure for the highlights, and another through a very high number, to set the overall contrast, and density of the blacks.
The filters come in a couple of formats - some are used below the lens, while others are used in filter drawers in the enlarger's head. I don't know whether your enlarger has such a within head option.
If you have a colour (dichroic) head, you can change the colour of the light using that, and may therefore not need separate filters. There are charts available that help you calculate appropriate settings.
You are not necessarily restricted to Ilford filters. I use Kodak Polycontrast or Polymax filters with Ilford paper. Some people also use other colour filters, like theatrical gels.
From time to time Ilford has offered special promotions, which include a filter set and a package of paper for one reasonable price.
Filter sets seem to come up regularly on Ebay. There may also be some APUG regulars in your area who might have an extra set that you could buy from them at a low cost.
As for the red filter, I rarely use mine, but it can be used to re-position an easel if you've accidentally moved it. Almost all black and white paper isn't sensitive to the red light.
You also might look at the instructional materials on the Ilford website - go to the "Applications" Tab at this link:
http://www.ilfordphoto.com/applications/page.asp?n=27
You also might consider a good book - if you search on APUG you will find whole threads of recommendations.
Good luck, and have fun.
Matt