Tesco Mobile hacks iPhone tariffs

Tesco Mobile has slashed iPhone tariffs and announced the availability of new 12-month iPhone contract.

Cheapest 8GB 3G iPhone now costs £100 at Tesco, while the 16GB 3GS mobile starts at £200. But, customers who want their hands on the 32GB 3GS handset will have to pay addition £75.

Customers will have to sign a 12-month contract which costs £35 per month. The deals include unlimited texts, data and WiFi plus 750 voice minutes per month.

Tesco also hacked the cost of its 2-year unlimited iPhone deal. It now offers unlimited minutes, texts and mobile Internet for just £45 per month. Earlier the 2-year unlimited iPhone deal used to cost £60 per month.

Tesco Telecoms and Tesco Mobile CEO Lance Batchelor said company's iPhone tariffs were very popular.

Speaking on the topic, he added, "We've now made them even better with a lower upfront cost for an iPhone and a new 12-month contract."

Similar iPhone contract from O2 costs £60 and at Vodafone, costs £75.