Microsoft App Suite

Microsoft Announces a Price Increase for 2023

In late 2022, Microsoft announced a further price increase for 2023 due to changing economic conditions and following other world events.

Microsoft said: “We have deferred pricing adjustments based on currency fluctuations thus far. However, after a sustained period of lower local currency Microsoft cloud pricing in many regions of the world, we’re now beginning a process to realign our prices globally.”

What Does a Microsoft Price Increase Mean For You?

Microsoft has now confirmed their price increases from 1st April.  As a reminder, Microsoft is increasing prices across all licenses (including non-profit and education licenses), due to changing economic conditions and following other world events.

If you have a monthly commitment license then prices will increase after 1st of April.  If you have an annual commitment license then prices will increase on your next renewal date.

How Much Are Microsoft’s Prices Increasing By?

Microsoft Cloud services will increase by 9% from April 1st.

Here are a few examples of package price increases:

Microsoft 365 Business Standard

  • Monthly commitment up from £11.28 to £12.36
  • Annual commitment up from £9.40 to £10.30

Microsoft 365 Business Basic

  • Monthly commitment up from £4.50 to £5.88
  • Annual commitment up from £3.80 to £4.17

Microsoft Defender for 365

  • Monthly commitment up from £1.81 to £1.97
  • Annual commitment up from £1.51 to £1.64

In the future, Microsoft will assess pricing in local currency as part of a regular twice-a-year cadence, taking into consideration currency fluctuations relative to the USD.  This means the price might reduce or rise further, depending on currency exchange rates.

We appreciate this will impact you, as it does us.

You can find Microsoft’s full announcement here.

For more information on Microsoft’s price rise and what this means for you, please don’t hesitate to get in touch with a member of our friendly team.

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