When Microsoft made their last price adjustment to their Microsoft 365 licensing, they outlined that all future global pricing would be based on US dollar pricing going forwards and reviewed based on exchange rate changes on a semi-annual basis.

Due to the strengthening of the British Pound, this has resulting in Microsoft announcing a decrease (you have read that correctly!) in Microsoft 365 pricing commencing early 2025.

What is the reduction?

The new prices are still to be confirmed but expect a reduction of 5-6%

When will it take effect?

The change will take place for any renewals (monthly or annual) which occur after 1st February 2025. For Pro Drive clients this will be applied automatically to your renewal

Are there any exceptions?

Yes.  Ther will be an increase of between 10-25% for Microsoft Teams Phone licenses which will be applied for any renewals (monthly or annual) from the 1st April 2025. Again, final prices are still to be confirmed.

Is there any action to take?

If you currently purchase your Microsoft 365 on a monthly basis, and wish to lock in the new pricing for the next 12 months, you can change to purchasing annually – and additionally you will get 12 months licensing for the price of 10!

If you have any questions regarding Microsoft 365 licensing or would like a review to ensure you are getting best value from it, please contact us on 0330 124 3599 or using the form below.