Xbox 360 update that kills Microsoft Points now available

Microsoft has at last retired its Microsoft Points currency via an Xbox 360 system update that is currently rolling out worldwide.

The update began filtering through to the UK yesterday, although it has been available to beta testers for some time.

Games on Demand titles, DLC, avatar items - everything available to buy from the Xbox Marketplace in the UK is now priced in pounds and pence.

All existing Microsoft Points will be changed into your local currency when you next make a purchase or redeem a Microsoft Points card at a rate that's equal to or slightly more than your Points' original worth (800 MSP converts to £6.80, 1200 MSP to £10.20).

Microsoft Points cards and codes redeemed after you've transitioned will be automatically converted into real-world currency.

There are no other big changes in the update, which comes ahead of the Xbox One's launch in November. Microsoft will now begin selling voucher cards in real-world currency amounts, for use across Xbox Marketplace on consoles and Windows Marketplace on Windows 8 PCs, phones and tablets.