Xbox 360 price cut in UK

UK retail chain Woolworths may have jumped the gun with leaked catalogue photos appearing on the Internet a few days ago, but Microsoft has now made the rumours official and confirmed the Xbox 360 will be getting a price cut before Christmas.

From this Friday, UK customers will be able to pick up the Xbox 360 Arcade pack for an ERP (estimated retail price) of £129.99 (approx. $232), formerly £159.99. Those who have a few more pounds to spend can opt for the standard (also known as the "premium" or "pro") Xbox 360 console for £169.99 ($304), down from £199.99 and now including a 60GB hard drive, rather than the 20GB it originally shipped with.

And the Big Bertha of Xbox 360s, the 120GB Elite, is also receiving a price cut from £259.99 to £229.99 ($412). In a statement announcing the price cuts, Microsoft UK senior regional director Neil Thompson said, "Xbox 360 has now sold over 20 million consoles worldwide and due to its unprecedented success, we are now able to pass on the rewards of that success to the consumer with a new retail pricing from £129.99."

The move puts both the Arcade Pack and Xbox 360 Pro below the price of its nearest home console competitor, the Nintendo Wii, which is still selling for £179.99. Sony's PlayStation 3 currently retails in the UK at around £299.

Naturally, Microsoft was keen to promote the exclusive titles in its Christmas lineup, including Gears of War 2, Banjo-Kazooie: Nuts & Bolts, Viva Pinata: Trouble in Paradise, Scene It? Box Office Smash, and Surrey-made Fable II. For more on Fable II read our recent hands-on with the game.