That looks fine. It's not the version I ship by default (have not updated to 2.7.4 yet) but it will work. I guess you must have previously installed Python on your system at some stage, or maybe some other app that installs a python dll.
I've updated the Windows versions of Glade to Python 2.7.4. The DLL's supplied in the distribution have been meticulously checked that they are correct i.e. the 32 bit Glade is supplied with a 32 bit python27.dll and the 64 bit Glade is supplied with a 64 bit DLL.
If you install Python on windows from http://www.python.org, be aware that their Windows installer is broken, at least if you're running Windows 7 with a 64 bit cpu:
1. If you install the x86 (32 bit) version it puts a 32 bit python27.dll into C:windowssystem32 (wrong!) and C:windowssyswow64 (correct)
2. If you try and install the x64 (64 bit) version to a seperate location, it does not change any existing DLLs from step 1, and even if you delete the DLLs it does not install the 64 bit DLL in C:windowssystem32.
3. If you uninstall python from your system, delete any python27.dll files, and then install the x64 version of Python it seems to get it right. But then installing the 32 bit version does not install any 32 bit DLLs, aargh!