Microsoft has confirmed pricing increases across a number of Microsoft 365 and Office 365 commercial plans, with the new pricing taking effect from 1 July 2026. The headline uplifts announced so far include Business Basic +16%, Business Standard +12%, Office 365 E3 +13%, Microsoft 365 E3 +8%, and Microsoft 365 E5 +5%. Microsoft has also confirmed that Business Premium is not part of this pricing uplift.

The key point for businesses is that Microsoft applies the new pricing at the next renewal after 1 July 2026. For customers whose renewal falls before 1 July 2026, Microsoft says they may renew or upgrade and lock in current pricing until their next renewal. For customers renewing after that date, the new pricing will apply at renewal.

Microsoft has not yet published the final UK GBP pricing, and has stated that pricing may vary by country and currency, so the exact £ impact for UK customers is still to follow.

At Highway Business Services, we are already reviewing client licensing ahead of the change to help identify where action before 01/07/2026 may be worthwhile, and to make sure businesses are on the right plans commercially as well as technically.

If you would like us to review your Microsoft estate ahead of the July changes, get in touch.

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