It's even better than we expected. Not only do we have a 16GB iPhone coming to us in the UK, there's a 32GB iPod Touch upgrade as well! Mr Jobs, you're really spoiling us...
The iPhone is indeed going to be £329, whilst the 8GB version will remain at £269. It'll stay exclsuive to O2 and the Carphone Warehouse. It should be available immediately from the Apple UK store. The new iPod Touch will be priced at £329 and should also be available immediately.
Both ship with the new software, which gives you the "ability to automatically find your location using the new Maps application; create Web Clips for your favourite websites; customise your home screen and watch movies from the new iTunes Movie Rentals". Of course, we're in the UK, so that last bit is wrong, but even that isn't enough to take the shine of the day that the beautiful iPod Touch becomes truly desirable....
The screen shot is from the US site, since the UK version doesn't seem to be updated yet. But when it is, you'll be able to get your new iGoodness here.
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