In a recent interview with TG Daily, Tim Sweeny has revealed that Epic Games are targeting Unreal Engine 4 on next-generation consoles — with any PC version that is made being a port. Sweeny is quoted:
Version 4 [of the Unreal engine] will exclusively target the next console generation, Microsoft’s successor for the Xbox 360, Sony’s successor for the Playstation 3 - and if Nintendo ships a machine with similar hardware specs, then that also. PCs will follow after that.
The good news for modders is that as the Playstation 3 version of UE3 is modable, UE4 on the PS4 most likely will be as well (assuming Epic decide to support the console). Whether or not the next Xbox console will follow Sony's lead and allow modding is unclear however, with UE4 a potential competitor to XNA, Microsoft's own cross-platform enthusiast development kit.
Thanks to Rock, Paper, Shotgun for the tip!