Does iphone use wifi or mobile network preferentially?

Hi - stupid question really...
If connected to a wifi network (e.g. at home), does the iphone use this instead of the mobile network, therefore, saving on you data allowance?
Or is there a setting you can change so it does this?

Hey tkoe,
The iPhone will connect to the Internet over the fastest connection available, Wi-Fi>3G>EDGE.
+"How iPhone Connects to the Internet+
+iPhone connects to the Internet using either a Wi-Fi network or a cellular data network.+
+iPhone does the following, in order, until connected:+
+Connects over the last Wi-Fi network you used that’s available.+
+If no previously used Wi-Fi networks are available, iPhone shows a list of Wi-Fi+
+networks in range. Tap a network and, if necessary, enter the password to join.+
+Networks that require a password show next to them. You can prevent iPhone+
+from automatically showing available networks. See “Wi-Fi” on page 102.+
+If no Wi-Fi networks are available or you choose not to join any, iPhone connects to+
+the Internet over a cellular data network ( , , or ). You cannot access the iTunes+
+Wi-Fi Music Store over a cellular data network.+
+If no Wi-Fi networks are available and a cellular data network isn’t available, iPhone+
+cannot connect to the Internet. "+ From page 30 of the iPhone User Guide
http://manuals.info.apple.com/en/iPhoneUserGuide.pdf
Jason

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