One of the biggest attractions of hosted telephony is cost - it's usually far cheaper than traditional phone lines. But "how much does it actually cost?" deserves a proper answer. Here's how the pricing works.

The per-user model

Hosted telephony is almost always priced per user, per month. Each member of staff who needs a phone gets a "seat" or "extension" for a fixed monthly fee. This makes budgeting simple and scaling effortless - add a user, add a seat.

As a rough UK guide, seats typically range from around £8 to £20+ per user, per month, depending on the features included.

What affects the price?

  • Feature tier - basic calling is cheapest; advanced features like call recording, analytics and Microsoft Teams integration sit in higher tiers.
  • Call plans - bundled inclusive minutes versus pay-as-you-go.
  • Hardware - using the softphone app costs nothing extra; physical desk phones are an optional one-off or rental cost.
  • Number of users - larger deployments often attract better per-seat rates.
  • Contract length - longer terms usually mean lower monthly fees.

What's typically included

Even entry-level hosted telephony usually includes far more than old phone lines ever did:

  • Calls between your own users (free)
  • Voicemail and voicemail-to-email
  • Auto attendant / call menus
  • Mobile and desktop apps
  • Call forwarding and hunt groups

Compare that with traditional lines, where most of these were paid extras - see our VoIP vs traditional lines comparison.

The costs you remove

It's not just the monthly fee that matters - it's what you stop paying:

  • No line rental for each channel.
  • No expensive PBX hardware to buy and maintain - see the total cost of ownership comparison.
  • Lower call charges, with many calls included or free.

Watch for the extras

When comparing quotes, check: are inclusive minutes included? Is there a setup fee? Are the features you need in the base tier or an upgrade? A clear quote should itemise all of this.

The bottom line

Hosted telephony usually costs a modest per-user monthly fee while removing line rental and hardware costs entirely - which is why most businesses save money by switching. For a quote based on your team and the features you actually need, request a callback or explore our Cloud Telephony service.

Frequently asked questions

How much does hosted telephony cost per user?

UK hosted telephony is typically priced per user per month, often from around £8 to £20+ depending on the features and call packages included.

Are calls included in hosted telephony plans?

Many plans include bundles of UK landline and mobile minutes, with some offering unlimited calling. Always check what is included versus charged per minute.

Is hosted telephony cheaper than a traditional phone system?

Usually yes. It removes line rental and expensive on-site hardware, and reduces call costs, so most businesses save money after switching.