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Recently Lionhead announced that they were working on a new Kinect title which is using the Fable franchise as a base known as Fable: The Journey. However thats not the only title that Lionhead are working on and Peter Molyneux has said that they are working on a new 'Super Secret' Project thats also a new IP (though with Peter nothing stays secret for long). Details are scarce at the moment but he was quoted at a Q&A session at Gamelab today after saying the following...
'We are working on a new Super Secret project and we would always prefer to work on new IP rather than a sequel.'
He also went on to say the following about Fable: The Journey...
Fable: The Journey can be played entirely sitting down, only using hand gestures to control the horse, off horse navigation and a magic "weaving" system that allows you to create objects and weapons. If I'm going to tell the most emotional story in the fable saga, you'll have to be relaxed.