In catalog/checkout.php:
***FIND:
<?php
/*
$Id: checkout_shipping.php 1739 2007-12-20 00:52:16Z hpdl $
***CHANGE TO:
<?php header("Content-Type: text/html; charset=UTF-8\n");
/*
$Id: checkout_shipping.php 1739 2007-12-20 00:52:16Z hpdl $
Not pretty, but does this work?
I have not tried charset=UTF-8. I fixed my € issue using charset=ISO_8859-1.