Microsoft 365 business prices rose on 1 July, and the CMA is now looking at Copilot

Two Microsoft stories landed close together and they are easy to conflate, so it is worth separating them. One is a price rise that has already happened and does affect business customers. The other is a regulatory investigation that, as things stand, does not.

The price rise, which is real and already in effect

Microsoft raised Microsoft 365 business subscription prices from 1 July 2026. On the published US list prices, Business Basic moved from $6 to $7 per user per month and Business Standard from $12.50 to $14. Business Premium was held at $22. Microsoft attributed the increases to expanded security, management and AI capability added to the suites. UK pricing is set separately, so check your own renewal paperwork rather than converting those figures.

The investigation, which is about consumer plans

On 29 July the Competition and Markets Authority opened an investigation into whether Microsoft misled customers when it moved them onto a costlier Microsoft 365 tier that included Copilot. The plans in question are the consumer ones, Personal and Family. Subscribers who stayed on the Copilot plan faced a £25 annual increase, and moving to the cheaper Classic plan required them to actively switch rather than it happening by default. The CMA has reached no finding and the case is at an early stage. Australian regulators previously obtained an apology from Microsoft over how clearly the Classic option was communicated.

What to take from it

The read across for business buyers is the pattern rather than the case. Suite pricing now moves with AI features attached, and the cheaper option is often the one you have to ask for. If Copilot is not being used across your team, it is worth checking what you are licensed for against what people actually open.