Most Irish businesses run their day on Microsoft 365 without thinking much about the cost, right up until a renewal notice lands. In 2026, that notice looks different. The Microsoft 365 price increase took effect on 1 July 2026, and most business plans now cost more than they did last year.
For the standard annual plans, Business Basic is now €6.07 per user per month, Business Standard is €12.13, and Business Premium is €19.06, all before VAT. If you are mid-contract, the new rates only reach you at your next renewal, not before.
The rise is smaller than the headlines suggest, and there are simple ways to keep it in check. Here is what you pay now, why it changed, when it hits your bill, and how to bring the cost down.
What Irish Businesses Pay for Microsoft 365 Now
Irish businesses now pay €6.07 per user per month for Business Basic, €12.13 for Business Standard, and €19.06 for Business Premium, all on an annual plan and before VAT. These are the standard versions that include Microsoft Teams. Prices differ slightly for versions without Teams or on a rolling monthly plan.
Here are the four core plans and what each one covers:
- Business Basic, €6.07 per user/month. Email plus web and mobile versions of the apps, with Teams. Best for teams that work mostly in a browser.
- Apps for business, €11.00 per user/month. The full desktop Office apps, but no business email or Teams.
- Business Standard, €12.13 per user/month. The desktop apps, business email, and Teams together. The most common choice for small offices.
- Business Premium, €19.06 per user/month. Everything in Standard, plus security and device management.
List prices on Microsoft's official Ireland pricing page are quoted per user per month before VAT, so the figure on your actual invoice is higher once Irish VAT of 23% is added, and resellers may apply their own terms on top.
Why the Microsoft 365 Price Increase Happened
The Microsoft 365 price increase is the first commercial rise since 2022, and Microsoft is framing it as a value update rather than a straight cost hike.
What actually landed inside the plans:
- Copilot Chat, the everyday AI assistant, is now included in the main business plans at no extra charge.
- Extra mailbox storage and better link protection were added to Basic and Standard.
- Business Premium gained stronger protection against email phishing and malware.
In percentage terms, the smaller plans moved most while Premium's US list price held steady. That said, euro prices always shift a little each year with exchange-rate reviews, which is why today's numbers are not identical to last year's.
When the New Prices Reach Your Bill
Existing customers keep their current pricing until the first renewal on or after 1 July 2026. The increase does not hit you mid-contract. New sign-ups pay the new rates straight away.
An annual plan locks your per-user rate for twelve months, which helps when prices are climbing. If your renewal is close, it is worth confirming the right Microsoft 365 plan for your team before you commit.
How Copilot Reshaped the Business Plans
Copilot now comes in two forms, and only one of them costs extra. Copilot Chat, the general AI assistant, is included free in Business Basic, Standard, and Premium.
The full version that works inside Word, Excel, and Outlook is a paid add-on, currently around €15.60 per user per month, down from a list price of €18.20.
You can also buy plans with the full Copilot built in. Business Standard with Copilot is €20.36 per user per month, and Business Premium with Copilot is €27.73.
Before you pay for the full version across everyone, it helps to work out whether Copilot is worth paying for in a business your size, since not every role gets the same value from it.
Business Standard vs Business Premium Pricing
The gap between Business Standard and Business Premium is €6.93 per user per month, and it buys security and device management, not extra Office apps.
Both Standard and Premium give you:
- The full desktop versions of Word, Excel, PowerPoint, and Outlook
- Custom business email and Microsoft Teams
- 1 TB of cloud storage per user
Premium adds on top of that:
- Full Defender for Office 365 threat protection, where Standard only checks links
- Device management with Intune, so you can control and secure company laptops
- Data protection with Purview for sensitive information
- A Windows 11 Pro upgrade for eligible devices
For a team that only needs the apps and email, Standard is enough. If you handle sensitive client data, or staff work on laptops away from the office, Premium's security usually earns the extra few euro per head.
5 Tips to Reduce Your Microsoft 365 Costs
The simplest way to control your Microsoft 365 cost in Ireland for 2026 is to pay only for what each person actually uses. Match the plan to the role, commit annually instead of monthly, and drop add-ons nobody touches. A quick licence review before renewal often trims the bill more than chasing a discount does.
- Right-size every licence. Not everyone needs Premium. Move light users down to Basic and save on each seat.
- Choose the annual plan. Monthly billing costs roughly 20% more, so Standard on a rolling plan is €14.56 instead of €12.13.
- Drop Teams if you never use it. The versions without Teams are a little cheaper, with Standard at €9.34.
- Only pay for full Copilot where it earns its keep. Copilot Chat is already free in your plan.
- Remember the VAT. The listed prices exclude it, and VAT-registered businesses can usually reclaim it under Revenue's rules, which lowers the real cost.
If juggling plans, renewals, and Copilot decisions is not how you want to spend your week, ongoing managed IT support can handle the licensing side for you, review usage regularly, and flag savings before each renewal comes around.
Get an IT Plan Today!
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