How Much Does Business VoIP Cost in the UK in 2025?

If you are scoping a switch, start with our business VoIP pillar for how the pieces fit together, then read on for the real numbers, the costs providers hide, and where the savings actually come from.

How much does business VoIP cost per user in the UK?

Most UK hosted VoIP plans are billed per user per month, from £5.95 depending on the features you need. That single line item usually covers the call plan, the phone number, the app, and the management portal — there is no separate "line rental" the way ISDN charged it.

Price scales with capability, not with how many calls you make:

• Entry tier (lower end): unlimited UK landline and mobile calls, voicemail-to-email, a softphone or mobile app, call forwarding, and basic reporting.
• Mid tier: auto-attendant, call queues, hunt groups, and integration with Microsoft Teams or a CRM.
• Premium tier: call recording with storage, wallboard analytics, and supervisor tools for contact-centre-style teams.

A 20-person business on a mid-tier plan is therefore looking at a predictable monthly figure rather than the unpredictable per-channel-plus-call-charges model ISDN forced on you. For the system itself, see our hosted phone system breakdown.

What's included in a typical per-user VoIP price?

A hosted VoIP licence from £5.95/user/month normally bundles unlimited UK calls, voicemail-to-email, a softphone or mobile app, call forwarding, and basic call reporting. Premium tiers add call recording, CRM integration, and analytics. Hardware is the main thing billed separately.

What you should expect inside the licence:

• Unlimited UK landline and mobile calls (check the fair-use cap in the contract).
• A geographic or non-geographic number, plus free number porting in most cases.
• Desktop and mobile apps so staff can work from anywhere on the same number.
• An admin portal to add users, change call routing, and pull basic reports.

Cloud calling has moved firmly into the mainstream, and Teams Phone is a big part of that shift. If your team already lives in Teams, calling can sit inside the same licence stack — see Microsoft Teams calling.

What are the hidden costs of switching to VoIP?

The recurring per-user price is rarely the whole story. The usual extras are IP desk phones at £50–£150 each (typical UK 2026 range), number porting fees (often waived), and — occasionally — a connectivity upgrade so voice traffic stays clean. A few providers also charge for recording storage or premium support.

The fix is to ask for a fully-costed quote, not a headline per-user rate. AMVIA quotes a single fixed monthly figure with no hidden charges, so the number you sign for is the number you pay. Reliable calls also depend on a stable connection — if your office runs on contended broadband, weigh up a dedicated line, and treat call traffic as something to protect: see VoIP security.

How does VoIP pricing compare to ISDN line rental?

ISDN charged £25–£50 per channel (typical UK 2026 range) before a single call, and each channel carried only one simultaneous call. VoIP folds calls into the per-user licence and gives every user multiple concurrent lines, which is why providers quote savings of up to 70% versus ISDN line rental (2026 UK market data).

There is also a hard deadline driving the maths. The UK's old PSTN and ISDN network is being retired, with the switch-off scheduled for 31 January 2027, after which traditional line rental simply stops being sold or supported — see Ofcom's guidance on the move away from analogue phone lines. Our PSTN switch-off guide covers the migration timeline in full.

Does Microsoft Teams count as business VoIP — and what does it cost?

Yes — Microsoft Teams becomes a full business phone system once you add a calling plan or connect it to the public network. The cost is your existing Microsoft 365 licence plus a calling component, so for Teams-first businesses it can be cheaper than running a separate VoIP platform.

Microsoft 365 Business Standard is £9.60 per user per month (ex VAT, annual) per Microsoft's UK pricing, and Teams Phone capability is added on top via a calling plan or a direct-routing connection. Direct routing — bringing your own SIP service into Teams — is often the cheaper route at scale.

For most SMEs the decision comes down to whether you want telephony inside Microsoft 365 or as a standalone platform. Our team can map it to your licences and your call volumes through the managed Microsoft 365 service, and the SIP-trunk option is covered in SIP trunking.

How much can VoIP actually save your business?

Savings come from three places: scrapping per-channel line rental, cutting per-minute UK call charges to near-zero, and removing on-site PBX maintenance. Industry figures put the reduction in communication costs at up to 75%, with smaller businesses typically seeing 25–50% lower costs than traditional telephony.

The bigger return is often operational rather than purely on the bill. One number that follows staff to mobile, app, and desk means fewer missed calls — and roughly 1 in 5 business leaders say they have lost business through poor communication (2025 UK survey data). With over two-thirds of UK landlines already migrated to digital (2025 UK data) and the switch-off fixed for 2027, the question is no longer whether to move, but how cleanly.