New Microsoft licenses pricing, 1 July 2026
Microsoft is changing their pricing, effective 1 July 2026. This will impact core Microsoft 365 licenses, including Business Basic and Business Standard. There is an increase of 12–17% for the affected licenses.
Please be advised that these new prices will apply to all new subscriptions and renewals from 1 July 2026. This includes discounted (such as nonprofit) as well as commercial licenses. Additionally, Microsoft will be removing all volume-based discounts.
Pricing will continue to be fixed and protected for the duration of annual subscriptions. Monthly subscriptions are impacted differently and may be subject to different pricing adjustments.
| License | Previous user/month | User/month from 1 July | Percentage increase | |||
|---|---|---|---|---|---|---|
| Business Basic | £4.60 | £5.40 | ~+17% | |||
| Business Standard | £9.60 | £10.80 | ~+12% | |||
| Business Premium | £19.60 | £19.60 | 0% | |||
| Copilot for Business | £16.10 | £16.10 | 0% | |||
| Exchange Online (Plan 1) | £3.10 | £3.10 | 0% | |||
| Purview Suite | £7.70 | £7.70 | 0% | |||
| Defender Suite | £7.70 | £7.70 | 0% | |||
| Teams Premium | £7.70 | £7.70 | 0% | |||
Microsoft is adding new capabilities with these price rises. All business licenses will receive:
- Protection via Safe Links – although note this is not the full Defender product, but a useful security boost nonetheless
- 100GB mailbox storage – whereas previously this was 50GB, so double the storage capacity
- Improvements to Copilot Chat – the limited capability Copilot app that doesn’t require a Copilot license
Microsoft practices regional pricing; current pricing in GBP (£) is available on our website.
All prices above are monthly per-user costs based on annual commitment terms with annual billing. Alternative subscription options, including monthly billing and/or monthly commitment terms, are available at a surcharge. All prices above are subject to VAT and final pricing publication on 1 July 2026 by Microsoft.