On 5th January 2023, Microsoft released a statement confirming that from April 2023, the global prices for their Microsoft 365 services and Azure infrastructure will now fluctuate, depending on the value of the local currency compared the US Dollar $.
Here is a link for you to read in full – Consistent global pricing for the Microsoft Cloud – Microsoft News Centre Europe.
Why are they doing this?
Since Microsoft is a US company, it sets its prices in US Dollars $. Over the last 8-10 months the various currencies have fluctuated quite dramatically against the Dollar and as a result, we in the UK have been buying their software cheaper than intended. They are implementing this ‘consistent global pricing’ as a way of removing this fluctuation.
What does this mean for me?
From April 1st, we are expecting an increase in pricing for all Microsoft 365 subscriptions and Azure infrastructure by 9% across the entire product range. As usual, Microsoft are giving little warning and will not announce the new UK GBP pricing until some time in March 2023!
What do I need to do?
For 99% of you, nothing. We will alter the pricing accordingly and continue to supply your existing Microsoft licenses at the new pricing levels. If you pay by Direct Debit, we will automatically take the correct amount every month as always. If you pay by BACS, then just continue to pay the amount due on each invoice as usual. For the few that have a standing order set up to pay any subscriptions, then you will need to adjust the standing order to take the increase into account.
Are any other prices increasing?
Currently the only price increase will be the Microsoft 365 subscriptions and Azure infrastructure. Our IT support, website hosting and support, domain and server backup pricing plus adhoc and project hourly rates will remain unchanged.
When will we know exactly what the new pricing will be?
As per the Microsoft announcement, this is expected to be an increase of 9%. As soon as we know the exact new figure, we will update this page with the prices up to and including March invoices, and price following the increases from April.
Update 1 April 2023:
Microsoft only released new pricing today through the distributors, on 1 April. The new prices are as follows:
Microsoft 365 Apps for Business NCE Annual – £8.60
Microsoft 365 Apps for Business NCE Monthly – £10.32
Microsoft 365 Business Basic NCE Annual – £4.90
Microsoft 365 Business Basic NCE Monthly – £5.88
Microsoft 365 Business Premium NCE Annual – £18.10
Microsoft 365 Business Premium NCE Monthly – £21.72
Microsoft 365 Business Standard NCE Annual – £10.30
Microsoft 365 Business Standard NCE Monthly – £12.36
Microsoft Azure Information Protection Premium P1 NCE Annual – £1.64
Microsoft Azure Information Protection Premium P1 NCE Monthly – £1.97
Microsoft Exchange Online (Plan 1) NCE Annual – £3.30
Microsoft Exchange Online (Plan 1) NCE Monthly – £3.96
Microsoft Exchange Online (Plan 2) NCE Annual – £6.60
Microsoft Exchange Online (Plan 2) NCE Monthly – £7.92
Microsoft Office 365 E3 NCE Annual – £22.00
Microsoft Office 365 E3 NCE Monthly – £26.40
Microsoft Power BI Pro NCE Annual – £8.20
Microsoft Power BI Pro NCE Monthly – £9.84
Microsoft Project Plan 1 NCE Annual – £8.20
Microsoft Project Plan 1 NCE Monthly – £9.84
Microsoft Project Plan 3 NCE Annual – £24.70
Microsoft Project Plan 3 NCE Monthly – £29.64
Microsoft Teams Phone Standard NCE Annual -£6.60
Microsoft Teams Phone Standard NCE Monthly – £7.92
Microsoft Teams Shared Devices NCE Monthly – £7.92
Microsoft Visio Plan 1 NCE Annual – £4.10
Microsoft Visio Plan 1 NCE Monthly – £4.92
Microsoft Visio Plan 2 NCE Annual – £12.30
Microsoft Visio Plan 2 NCE Monthly – £14.76
Please note that annual subscription prices will only alter on renewal of the subscription. If you renewed in March 2023, that price is locked in until March 2024.
Azure infrastructure pricing will also increase by 9%.
Finally, please note that this is again due to changes in GBP and USD currency rates and will now be reviewed by Microsoft every 6 months. It is possible that UK pricing will decrease at the next review in October 2023.
As always, if you have any questions, just let us know.
Have an amazing week!