Amazon has announced two newer, cheaper Amazon Kindle ebook readers to entice even more people into going electronic when it comes to reading books on the go, as well as confirming it will be launching a dedicated UK ebook store.

The new Kindle models will both be 21 per cent smaller and 15 per cent lighter, with 50 per cent better contrast, 20 per cent faster page turns, up to 1-month of battery life, and double the storage - now allowing you to store up to 3500 books on the device at any one time.

Coming in two options, there will be a 3G and Wi-Fi version costing $189, and a Wi-Fi only model at $139. UK versions will be priced at £109 and £149, respectively. 

The new models will ship to customers in over 140 countries and 30 territories including the UK from 27 August says Amazon.

"The new Kindle has a 21 percent smaller body while still keeping the same 6-inch-size reading area. At only 8.7 ounces (241 grams) , the new Kindle is 15 percent lighter and still 1/3 of an inch thin, making it lighter than a paperback and thinner than a magazine. With Kindle you can read comfortably and naturally with just one hand for hours. The new Kindle Wi-Fi is even lighter at just 8.5 ounces (241 grams) ", says Amazon.

There will also be a new lighter leather cover that as the name suggests, features a permanent part of the cover.

The e-tailer, that now sells a lot more than just books, has also confirmed it will be launching a UK ebook store so UK customers won't have to buy books via Amazon.com, as is currently the case. 

Amazon will launch the new UK Kindle Store on 27 August with what it claims is the biggest selection and lowest prices of any ebookstore in the UK. Customers will be able to choose from over 400,000 books, including new releases and 85 of 100 Nielsen UK bestsellers.  

Rumours that a new Kindle from Amazon was due, started appearing earlier in the week after some Amazon followers noted that the stock for the popular ebook was running low.

Stay tuned.

Customers can discover full details and pre-order the new Kindle and Kindle Wi-Fi at www.amazon.com/kindle3G and www.amazon.com/kindleWi-Fi in the US and www.amazon.co.uk/kindle3G  and www.amazon.co.uk/kindleWi-Fi in the UK.

UPDATE: We've gone hands-on  - PHOTOS: Amazon Kindle Wi-Fi hands-on.