Microsoft 365 Pricing Increase - FAQs| ET Works
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Microsoft 365 Pricing Increase – FAQs

Written by: ET Works Insights

Microsoft is updating its 365 Business and Enterprise pricing starting July 1st, introducing expanded features like increased email storage and enhanced security measures. While price adjustments range from 5% to 17% depending on the specific plan, existing contract prices are locked until their next renewal date.

ET Works will proactively review every client account ahead of their individual renewal window to optimise licence usage, ensure plan alignment, and minimise costs. No immediate action is required from users at this stage, however, if you have any concerns, please get in touch.

FAQs

Why are Microsoft’s prices going up?

Microsoft is raising the price of most of its 365 business plans from the 1st of July. They’re adding new features at the same time, including more email storage, better protection against scam emails, and Copilot Chat features, so the plans are growing as well as costing more.

Is this ET Works putting your prices up?

No. This is Microsoft’s change, and it applies to every business that uses these plans. Our job is the opposite: to help you pay as little of it as we can.

Which Microsoft 365 plans are affected?

The changes apply to most Microsoft 365 Business and Enterprise subscriptions, including Business Basic, Business Standard, Business Premium, E3 and E5 plans. We’ll confirm exactly which licences are affected during your review.

Does it affect me?

Yes, if you’re on a Microsoft 365 plan, but not today. Your current pricing is locked in until your renewal. The new pricing only starts from your first renewal on or after the 1st of July.

When will I see it?

At your renewal. If your renewal falls before the 1st of July, nothing changes until the one after that. We’ll always tell you your date.

How much more will it cost?

It depends on your plan. For most small business plans it’s between 12% and 17%. Microsoft sets the exact amount in each currency and is still confirming those, so we’re working from percentages for now and will give you your precise figures as soon as they’re published.

What can I do about it?

The most useful thing is to let us review your licences before your renewal. We’ll make sure you’re only paying for what you use, and check you’re on the plan that fits your team. For a lot of businesses, that covers a good part of the increase on its own. We’ll talk you through anything worth changing.

What about Business Premium? I’ve heard that’s worth a look.

It can be.

Microsoft is keeping Business Premium at its current price while most other Microsoft 365 business plans are increasing, so the gap between Premium and Business Standard is becoming much smaller.

Business Premium includes advanced security, device management and identity protection features that help protect your organisation against phishing attacks, compromised accounts and lost or stolen devices.

For some businesses, the price changes mean Business Premium now offers significantly more protection for only a small increase in cost. In many cases, it can also reduce the need for additional third-party security tools.

We’ll review your current setup as part of your licence assessment and only recommend a move to Business Premium if it delivers genuine value for your organisation. If it is the right fit, the transition is straightforward and can be completed with minimal disruption to users.

What are you doing about it?

Before your renewal we’ll review your account, trim anything you don’t need, and confirm the best-value plan for you. You won’t need to chase us. We’ll come to you in good time with your numbers and a clear recommendation.

Do I need to do anything now?

No. There’s nothing to sort out today. If you’ve got questions, send them over and we’ll factor them into your review.

I’m on an enterprise plan (E3 or E5). Is it different for me?

The basics are the same: your price holds until renewal, then the new pricing applies. The increase on enterprise plans is generally smaller than on the small business plans, around 5% to 13% depending on which one you’re on. Microsoft is adding security and device-management features to these too, so there’s more in the plan than before. We’ll go through exactly what changes for you as part of your review.

For more details on the technical additions and suite adjustments, you can read the official Microsoft Packaging and Pricing FAQ.

About the author

ET Works Insights

Our Insights content is created by members of the ET Works team, drawing on wide‑ranging experience across technology, operations, service delivery, and customer support. Whether written individually or collaboratively, each article reflects our commitment to sharing practical knowledge, industry developments, and perspectives from across the business. Beyond their professional roles, our contributors bring diverse interests and backgrounds that help shape the insight and creativity behind our work.

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