Hi all, a friend of mine is looking for a wheel for his xbox. He also owns a PC so is interested in rFactor. Is there a relatively cheap wheel / pedal set that is compatible with both systems?

Logitech DFGT

A friend let me use his for a bit, I went and bought my own.
That was two years agoand it's still doing its job with probably 20,000 laps on it.

Sorry Slick but a DFGT is not compatible with xbox..

The only choice for full compatibility is a Fanatec (gt3 or PWTS). An original xbox wireless wheel will work on PC through the gaming adapter but without force.

I know as i had the same conundrum. In the end i got the Fanatec. It is awesome.

Note that the 360 wheel on pc is absolutely horrible compared to a fully functional wheel. MS has no driver for FFB and pretty much never will. Most games just aren't worth playing with it.
Good excuse to get the Fanatec though, just go with the cheaper pedals which will still probably be better than the 360 wheel pedals. The GT2 is $250, you'd probably pay about that finding a left over 360 wheel these days (it was $200 new). Standard pedals are $50. If he really gets into it, he can add H shifter and Clubsport pedals---or maybe find G25/G27 pedals on ebay to use.

Actually the GT3 is for PS3/PC only. The PWTS is no longer in production. The GT2 is now the only tri-platform (Xbox/PC/PS3) wheel out there. And as a blend of the GT3 v2 and PWTS, I am sure it is quite good. Recommend it be purchased with the Clubsport pedal set as well. Expensive, but worth the price for long-term enjoyment and cross-compatibility.

dang, i knew i would get the gt... wrong. You are of course correct.. It is the GT2 and not the GT3.

Many thanks for the information and discussion everyone. I fear the Fanatec wheels are a little too pricey, but I'll pass the details on.