UK iPhone gets £100 price cut

The price of Apple's 8GB iPhone has been slashed by £100 in the UK in what seems like preparation for the new version 2, 3G-enabled models rumoured to be on their way to Europe.

UK mobile suppliers Carphone Warehouse and 02 announced that the price for the 8GB model would now be £169, with the 16GB version remaining at £329.

"More and more this is starting to look like they want to clear stock of an older model, with a looming revision to the iPhone which will likely include 3G," CCS Insight analyst Ben Wood told Reuters.

"But also we think the iPhone has slowed down during the first quarter and we think [a 3G launch] should give sales a bit of a lift."

If you have bought an 8GB iPhone within the last 30 days, Carphone Warehouse will be offering a £100 voucher in compensation.

"The offer is available from [Wednesday] on all O2 iPhone tariffs and will create additional momentum for what has been O2's fastest-selling device," an 02 spokeswoman said.

By Mike Bowden