Industry sources have sparked up rumours that Microsoft will be cutting the price of all Xbox 360 models in Europe this month.

Videogaming247.com reports that retailers are keeping mum on the price cut of all SKUs because Microsoft has set up non-disclosure agreements. The price cut is believed to come into effect just before the Easter period.

According to Techradar.com, the Elite, Premium and Arcade 360s will all be dropped by roughly 50 Euros on the 14th of March.

If we break this down it shows that the Arcade Xbox 360 will retail at approximately £150 across the UK, making it cheaper than the Nintendo Wii, which currently retails at £180. The Elite unit will be available for under £240 while the Premium will retail at just below £200.

MCV claims that ‘good authority’ told them the units will drop by £30 each. This would still mean that the Arcade 360 would better compete with the Wii’s price.

Microsoft has issued a standard ‘no comment’ reply to the reports. Only a matter of time then.