Seeing as I got my Desire offline, and my contract is up I rang O2 and asked what they could do. In the end I got a 1 month rolling contract with 600mins (rarely go over that) 1200 texts (yup will do me!) unlimited Internets, voicemail and roaming for £20 each month. Not bad considering I have been paying over £40 a month for stuff.
I can upgrade my tariff whenever I want should a phone come out I like, but the lady I chatted to said a lot of people were now buying phones offline and then taking out his kind of deal, then trading them in 8 months down the line for a newer handset. Me being a must have the latest gadget geek am thinking of doing this anyways. So it all suited me. Plus I kept my number, SIM and didn't have to go down the PACS route.
Being roped into 18/24 mo contracts is ludicrous for me. I understand people what a 'free' phone or to pay less up front, but I like to have the latest thing.