Switching to a business phone system used to mean investing in expensive hardware and long-term contracts. Today, that’s changed. With VoIP (Voice over Internet Protocol), small businesses in the UK can access enterprise-grade communication without breaking the bank. But how much does VoIP really cost, and what should you expect when choosing the right solution?
In this article, we’ll break down the costs of VoIP in the UK, look at the factors that influence pricing, and help you decide if it’s the right move for your business.
Key Takeaways
- Affordable entry point: Cheap VoIP systems start from as little as £10–£20 per user per month in the UK.
- Flexible scaling: Costs depend on the features you choose, such as call recording, video conferencing, or CRM integrations.
- Long-term savings: Switching to VoIP can reduce line rental and call costs compared to traditional phone systems.
What is VoIP and Why Does it Matter for Small Businesses?
VoIP allows businesses to make and receive calls over the internet rather than traditional phone lines. For small businesses, this means lower upfront investment, predictable monthly costs, and the ability to work flexibly across locations.
Unlike older systems that lock you into physical desk phones, VoIP offers mobile apps, softphones, and integration with your existing IT systems. Providers like circle.cloud tailor packages so businesses only pay for what they need.
How Much Does VoIP Cost in the UK?
Pricing varies by provider, but here’s a realistic guide to what small businesses can expect:
| Plan Type | Typical Cost (per user/month) | Features Included | Best For |
|---|---|---|---|
| Basic | £10–£15 | Unlimited UK landline/mobile calls, voicemail, call forwarding | Start-ups, sole traders |
| Standard | £15–£25 | Video calls, call recording, auto-attendant, mobile apps | Small teams (5–20 staff) |
| Advanced | £25–£40 | CRM integration, analytics, international call bundles | Growing SMEs with advanced needs |
Costs beyond the monthly per-user fee can include:
- One-off setup (if hardware is needed, e.g. desk phones).
- Optional extras like international minutes or premium features.
- Broadband or fibre upgrades to ensure call quality.
circle.cloud, for example, provides cheap VoIP packages that allow small businesses to scale up or down without costly infrastructure changes.
Common Misconceptions and Challenges
Many small businesses hesitate to switch because they assume VoIP is either unreliable or complicated. In reality:
- Call quality depends on broadband, not the technology itself. With fibre or business-grade connectivity, it’s often clearer than landlines.
- You don’t always need new hardware. Existing computers, smartphones, and headsets can work seamlessly with softphone apps.
- Costs don’t spiral unless you bolt on features you don’t actually need. Providers like circle.cloud can help design a package that fits your budget.
Why VoIP is the Future for Small Business Communication
As the UK phases out traditional PSTN phone lines by 2025, VoIP isn’t just a cost-saving option—it’s the only option for long-term business connectivity.
Beyond cost, VoIP gives small businesses flexibility: staff can take calls anywhere, integrate communications with CRM systems, and improve customer service. It also scales easily as businesses grow, without the headaches of physical phone systems.
Looking ahead, we’ll see more AI-driven features, tighter integration with collaboration tools, and smarter analytics built into VoIP platforms. For small businesses, this means staying competitive without major IT spend.
Conclusion
So, how much does VoIP cost for a small business in the UK? For most, the answer is £10–£25 per user, per month—a small price for big benefits like flexibility, scalability, and savings on traditional telecoms.
At circle.cloud, we help businesses get the most out of VoIP by building solutions that fit their size and budget. If you’re weighing up your options, now is the perfect time to make the switch before the PSTN switch-off.
FAQs
1. What’s the cheapest VoIP option for a small business?
Basic packages start at around £10 per user per month, covering UK calls and voicemail.
2. Do I need new phones for VoIP?
Not necessarily. Many businesses use apps on mobiles or computers instead of buying desk phones.
3. Is VoIP reliable for customer-facing businesses?
Yes, provided you have a stable broadband connection. Business-grade connectivity ensures crystal-clear calls.
Reach Out to Us
Are you considering VoIP for your small business but unsure which package fits best? Our team at circle.cloud would be happy to walk you through your options and find the most cost-effective solution for your needs.
Get in touch with us today and let’s explore the best cheap VoIP package for your business.