Sony is to cut the price of its PlayStation 3 media console to £200 (160GB model), and £250 (320GB).

The announcement is being seen as a ‘softening up’ to the release of the PlayStation 3D TV, rumoured to be released in the UK later this year.

The PlayStation-branded 3D TV designer specifically for gaming is expected to be a 24in design and cost £499.

The screen will include ‘SimulView’ technology which allows two players to view two different images on the same screen, depending on where they’re sitting.

Sony has also announced the launch of a new budget version of the PSP handheld console. It will come without the Wi-Fi capability of the current model and sell for around €99.

Andrew House, president and CEO of Sony Computer Entertainment Europe, said: “Our strategy is to provide the best quality entertainment experience at accessible prices. With PSP at €99, Vita (handheld games console due for release later this year) starting at €249 and PlayStation 3 at €249, we feel confident that gamers can enjoy the incredible games available on PlayStation whatever level of investment suits their budget.”