As part of the Get Online @ Home scheme, some 10.8 million Britons who cannot afford a computer at standard retail prices will be able to snap up the bargain PC, which includes an estimated £150-worth of software, along with a £2.99-a-month broadband deal.
A £74 PC or £104 refurbished laptop will also be available for those that are not eligible for the cheapest machine.
The aim of the scheme, which is being supported by Microsoft, is to help the 16 million Brits who do not have basic online skills to learn how to use the Web, allowing many to improve their skill set.
Chris Williams, from Get Online @ Home, told the Daily Mail: "We are delighted to be able to make this extraordinary deal available to offer real help to people that need it.
Supporters hope the offer will help boost employment, since at least 75 per cent of jobs now require online applications.
Baroness Lane-Fox of Soho, founder of the digital inclusion programme Go ON UK, said: "With the cost of internet access cited as a key reason for not being online, this is an incredible saving... With so much online now, from paying bills and banking to job applications, connecting with people and getting the very best deals, being online is no longer a nice to have, it is an essential."
What do you think? Is being online an essential in this day and age? Leave your comments below...