On the back of rumours of an iPhone price cut in the UK, O2 has announced that it will be introducing new 24-month tariffs starting April 3.

Customers who sign up to the 24 month tariff can get the 8GB iPhone 3G for free at £34.26 per month and the 16GB iPhone 3G for free at £44.05 per month.

The tariffs have the same benefits as an 18-month tariff including visual voicemail, unlimited UK data and unlimited access to over 9,500 public Wi-Fi hotspots.