Written by Tatiana Lebreton Reviewed by James Macey Updated on 6 May 2025 On this page VoIP Phone System Costs Breakdown VoIP software costs VoIP call minutes cost VoIP installation costs VoIP hardware costs Are There Any Hidden Costs for VoIP Phone Systems? Is VoIP Cheaper Than a Landline Phone System? Is There a Free VoIP Service in the UK? Verdict FAQs Expand Our site is reader-supported – by clicking our links, we can match you with a potential supplier, and we may earn a small commission for this referral. With landlines being phased out in the UK by 2027, most businesses are making the switch, or have made the switch to digital VoIP (Voice over Internet Protocol) phone systems, which use the internet to connect calls.These modern office phone systems are software-based and require minimal equipment to run, although most can integrate with hardware phones. A VoIP software plan costs between £10 and £30 per user, per month, depending on how advanced your package is. Compatible hardware phones cost anywhere between £50 and £120 per set, while accessories such as headsets cost between £15 and £150.Most VoIP providers are transparent with their pricing, so we’ll break down what top providers charge for their software and services. And, if you need help finding a VoIP phone system provider, we can help. Just fill in our free quotes form, and we’ll match you with providers who’ll reach out with tailored quotes. VoIP Phone System Costs BreakdownFor a top VoIP office phone system, you’ll need to pay a few things, which can include:A subscription fee for the VoIP software package (this is almost always charged per user per month)A fee for call minutes (many VoIP plans offer unlimited inbound and outbound minutes, but some charge for usage)An installation and configuration fee (if your provider doesn’t offer this for free)Upfront costs for VoIP-compatible phones, also known as IP phones (if you’re existing phones aren’t compatible), or headsets VoIP software costsMost VoIP phone software is charged on a per user, per month, with prices varying between £10 and £30. While some providers charge a set fee for the entire software package, others limit the features you can use depending on the price you pay.To give you a better idea of how much you can expect to pay for VoIP phone software, here’s what the top providers charge: Swipe right to see more 0 out of 0 backward forward RingCentral bOnline NBC Cloud Voice Google Voice Dialpad Vonage GoTo Connect Phone System Pricing £12.99-£29.99/user/month Pricing £7-£15.50/user/month Pricing £9.99-£24.00/user/month Pricing $10-$24 USD/user/month (£7.50-£18 GBP) Pricing £12-£20/user/month + bespoke plan Pricing £10-£25/user/month Pricing £18/user/month (bespoke) Domestic minutes Up to 2,000 inbound and 4,000 inclusive outbound minutes Domestic minutes 100 minutes per user on cheapest plan, unlimited on others Domestic minutes Pay-as-you-go or unlimited, depending on plan Domestic minutes Unlimited Domestic minutes Unlimited Domestic minutes Pay-as-you-go or unlimited depending on plan Domestic minutes Unlimited International minutes N/A International minutes Metered International minutes Metered International minutes Metered International minutes Metered International minutes Metered International minutes To 50+ countries Learn more Get Quotes Get Quotes Get Quotes Get Quotes Get Quotes Get Quotes As you can see, a majority of providers start their pricing at £10 or £12 per user per month, and don’t charge more than £25 per user per month for their most expensive plan, with a few exceptions.The cheapest plans, those costing under £10 per month, often come with more limited call management features, and don’t always offer unlimited minutes, meaning you have to pay-as-you-go. Mid-tier and top-tier plans often have more advanced features, designed to handle large volumes of calls, and come with unlimited minutes.What option is best for your business depends on your needs: the number of calls you make and receive. VoIP call minutes costAs you can see from the table in the previous section, most VoIP software plans come with unlimited inbound and outbound minutes for domestic calls. If they do charge extra, you can expect to pay a few pence per minute, such as between 12p and 30p, depending on the number you’re calling.Most providers charge metered rates for international calling, and these vary a lot by provider. NBC, for example, charges £6 for 500 international calling minutes, and £10 for 1,000 minutes. VoIP installation costsMost VoIP providers don’t charge installation fees, since their software can be easily set up online and requires minimal hardware equipment. Often, it’s just a case of installing the right apps and connecting up any IP phones.If you have a complex hardware setup and require the help of an engineer, you can expect to pay £200 to £350 for a half-day installation job. VoIP hardware costsVoIP hardware costs are usually quite minimal, and will vary depending on the number of hardware sets you need.Here’s what you can expect to pay:Cordless office phone set: £10-£120Headset with microphone: £15-£150As you can see, there’s a big variation in price, but most businesses will do just fine with the cheaper options. Fancy headsets with a range of features aren’t necessary for most day-to-day business activities. ▶ Read more: What is unified communications, and why does it matter? Get tailored phone system quotes Receive Quotes Are There Any Hidden Costs for VoIP Phone Systems?There aren’t many hidden costs to using a VoIP office phone system, but expenses businesses often overlook include broadband and employee training.Here’s the full list:Broadband (£20-£50/month): A VoIP system will increase your business’s internet usage, so you might need to switch to a new broadband plan with a bigger capacity.Training (variable): You’ll need to spend time training your employees on how to use the new VoIP system, which will cost your business time that could have been spent elsewhere.Add-on software products (£5-£35/month): Some VoIP providers offer optional add-on software products, such as e-faxing or video-conferencing.Additional numbers (£2-£4/month): Many VoIP providers will charge you for using more than one or two numbers, with rates varying depending on the type of additional number you need. Is VoIP Cheaper Than a Landline Phone System?A VoIP phone system is generally cheaper than a landline because it doesn’t require you to purchase as much dedicated hardware. All you need is an existing internet connection and an internet-connected device such as a smartphone, IP phone, or computer, in any location.This, and the fact that all landlines in the UK will be switched off by 2027, as part of the “Big Switch Off“, is why a lot of businesses have transitioned from analogue to a cloud-based VoIP phone system. Is There a Free VoIP Service in the UK?There’s no free business VoIP software available in the UK.However, there are apps you can download for free that will allow you to text and make audio and video calls for free over the internet. These include Facebook Messenger, Skype, Viber, and WhatsApp. That being said, some require you to sign up with a mobile number, which means you’ll still have to pay for a regular cell phone plan. Verdict A modern VoIP phone system costs between £10 and £30 per user per month for software, and hardware IP phones cost between £10 and £120 per set.If you want to know exactly how much your business can expect to pay, use our free quote-finding tool, and we’ll match you with the best VoIP phone system suppliers. You can compare prices, talk to suppliers, and gain a better idea of the phone system you should be investing in. FAQs What is the cheapest telephone service? There are only two major providers in the UK that offer landline-only home phone packages – BT and Direct Save Telecom, and between the two, Direct Save Telecom offers the cheapest telephone service. It’s the best value line rental package, which costs £17.50 per month. Can you still get a landline without the internet? Yes, however, there are only two providers that offer landline-only deals: BT and Direct Save Telecom. Both offer three different kinds of landline-only plans whose rates range from £17.50 to £39.05 per month. Written by: Tatiana Lebreton Senior Grow Online & Business Software Expert Tatiana is Expert Market's resident payments and online growth expert, specialising in (E)POS and merchant accounts, as well as website builders. Reviewed by: James Macey Senior Business Software Researcher James draws on more than four years experience as a researcher to offer specialized advice on a wide range of categories from CRM to fleet management. He believes all businesses can grow if they use the right tools and services.