Three has announced it will be picking up the new Nokia N97, complete with free Skype calls, for one of the cheapest 'pay as you go' rates.

While the phone is available unlocked for around £500, the latest Nokia smartphone will cost just £319.99 on PAYG.

Users will get 90 days voicemail, a (measly) 150MB of internet data and a "bundle of texts" as part of the top up too.

Crunched

However, for those in these credit crunched times who prefer to spread payments out, the phone is available for free on £35 per month, although you need to add another £5 per month to get unlimited data (which makes sense with such a 'net-centric device).

And as part of Three's big 'Skype is brilliant, free calls and IM and all that!' (NB not the actual slogan) campaign, users can call each other for free on Skype and use IM without paying a penny as well.

Head on down to a Three store or check out Three's Nokia N97 website to get your hands on the phone, which is available today.