Tescos announces iPhone pricing - hitting stores on Monday

Tesco has announced it will start to sell the iPhone from Monday, and has outed its prices that throw up a few tempting offers compared to the competi

While Orange outed rather uninspiring contracts that undercut O2 by pennies, Tescos has offered up fewer options but ones that separate it from the others.

For example there's a 12 month contract, currently unavailable on Orange or O2, which will leave you free to pick up the new iPhone when it's inevitably announced late next year - very attractive to say the least.

The 12 month contract offers £60 worth of calls and texts, plus unlimited web and Wifi for £20 a month, but you will have to cough up some money up front – £222 for the iPhone 3G, £320 for the 16GB 3G S and £407 for the 32GB 3G S.

If you want to pick up a handset for free, you'll have to sign up for the two year contract which costs a whopping £60 a month, but will give you unlimited calls and texts (with a fair usage policy of £500), as well as free web and Wifi too.

You can choose from the 8GB 3G or 16 GB 3G S (a bit of a no brainer) for nada, or pay £50 to bag the 32GB 3G S.

On either pay monthly option, you also get the option to pick five favourite numbers for half price rates of 10p per minute and 5p texts.

Finally if you were wanting to go pay as you go, the prices are the same as with Apple (although you'll get £20 off when you spend £40 in store), but the Tescos PAYG SIM boasts a "triple your credit" offer, meaning if you top up by £15 or £20, you'll get £30 or £40 credit free respectively. Not bad at all.

Of course, Tescos Mobile does operate over the same network as O2 so if you were moving from them for reasons of coverage, you may want to think again before you do.

Now, we're just waiting on Vodafone to release their pricing and release date – what will they offer us?

Check out the full tariff listing and let us know below what you think to them – will you be picking up yours on Monday?