Field Notes

Microsoft 365 Business Premium Is Now The Obvious Choice — Use The Price Rise To Upgrade

A price tag shaped like the Microsoft logo, with an upward arrow on Business Standard and a flat line on Business Premium
Not all plans are created equal. Only one of them held its price.

If your business runs Microsoft 365 on a Business Standard licence, you should upgrade to Business Premium at your next renewal — not in spite of the July 2026 price rise, but because of it. Business Standard is rising from $12.50 to $14.00 per user per month, while Business Premium is not changing at all — which actually narrows the gap between the two plans and makes Premium an even stronger value relative to Standard than it was before. Microsoft has handed you the business case on a plate. The only sensible response is to take it.

The arithmetic is stark. The security tools included in Premium — Defender for Business & Intune specifically — would cost approximately $11 per user per month if purchased separately. Business Premium now costs just $8 more than Standard after July 2026, meaning you are effectively getting both tools at a discount, plus the identity & data protection features. Put that in UK business terms: you are currently paying near-enough the same spread for a plan that leaves your endpoints unmanaged and your devices unprotected. Both plans include the same core productivity tools — Office apps, email, Teams, OneDrive & SharePoint — but Business Premium adds Microsoft Defender for Business, Intune device management, Entra ID P1 for conditional access, & Defender for Office 365 Plan 1 for advanced email security. That is not a marginal upgrade. That is the difference between a business that can prove its security posture to a cyber insurer and one that cannot.

A cartoon showing two doors side by side: one labelled 'Business Standard' with a steep staircase going up and a small sign reading '+12%'; the other labelled 'Business Premium' with a flat welcome mat and a security guard holding a shield. A bewildered business owner stands between them holding a renewal invoice.
The upgrade practically signposts itself.

Before you renew anything, run a licence audit — because the average SMB carries 10–15% unused Microsoft 365 seats. For a 100-seat company on Business Standard, reclaiming 12 unused seats at the new rate saves over $2,000 per year — more than enough to cover the price increase on the remaining 88 seats. Ghost accounts from leavers, duplicate licences, users on Standard who only need Basic — users who may be "over-provisioned" because they are on the wrong plan, unused add-ons inflating your licensing costs, & Exchange storage add-ons that Microsoft's new 50 GB mailbox increase may already have rendered redundant — all of it adds up. Strip the waste first, then price the upgrade to Premium on what remains. In most cases, the total bill barely moves.

Before your next renewal lands, do three things: pull your Microsoft 365 usage report from the admin centre (or ask us to do it — takes us twenty minutes), remove every seat that hasn't been touched in 90 days, and ask whoever manages your licences to quote you Business Premium side-by-side with your current plan at the cleaned-up seat count. If you are paying for standalone antivirus, endpoint management, or any third-party identity tool on top of Standard, the upgrade will almost certainly cost you less overall, not more. Business Premium is the only mainstream commercial SKU not increasing — which means this window will not stay open indefinitely. Licence audits & plan optimisation are exactly the kind of thing we handle for clients every day; come and talk to us before your renewal catches you out.

Back to all Field Notes
Keep reading

More from Field Notes

· 3 min read

April 2028 Is Closer Than It Sounds — Check Your Accounting Software Now

From 1 April 2028, filleted and abridged accounts disappear, paper filing closes, and every small company must file a full profit & loss in iXBRL format via commercial software. The deadline is confirmed and it will not move again. If your current package can't produce iXBRL, that's an IT problem you need to solve before it becomes a compliance crisis.

Read article

Let's talk about your IT.

A friendly, no-obligation chat with a Yorkshire team that has kept businesses running for over 25 years.

An unhandled error has occurred. Reload 🗙