Have you considered exploring pyramid based images? Imagine a pyramid where the image is divided up in multiple layers, each layer with a different resolution. Each layer is split up into tiles.
This way you can display a zoomed out version of the image, and also a zoomed in partial view of the image, without having to re-scale.
See the Wikipedia entry.
One of the original formats was FlashPix, which I wrote a renderer for.
I've also created a new format of a pyramid converter and renderer, which was used for a medical application. An actual scanner would produce 90GB+ scans of a slice of an organ for cancer research.
The algorithm of the converter was actually pretty tricky to get efficient, to produce the pyramid images efficienty. Believe it or not, it was actually Java based, and it performed much better than you'd think. It used multithreading. Benchmarking showed it was unlikely that a C version would do a whole lot better. This was 6ish years ago. The original renderer I did over 10 years ago.
You don't hear anything about pyramid based images anymore these days. But it's really the only efficient way to produce scaled images on demand without having to generate cached scaled versions.
Jpeg2000 may or may not have an optional pyramid feature as well.
I recall that ImageMagick's supporter formats and conversions perhaps, include FlashPix.
Googling for "image pyramid" reveals some interesting results. Bring back some memories ;-)