Hosted VoIP Solutions UK 2026 | Costs, Providers & Compare Quotes Quick answer
A hosted VoIP solution is a cloud-based business phone system managed by an external provider. Instead of maintaining a telephone exchange at your premises, your employees make and receive business calls through an internet connection.
Hosted VoIP typically costs around £8 to £30 per user per month in the UK, excluding VAT.
A practical small-business package commonly costs £10 to £25 per user per month and may include:
a UK business telephone number;
inbound and outbound calls;
desktop and mobile applications;
voicemail-to-email;
call forwarding and transfers;
hunt groups or call queues;
an online administration portal;
remote-working support.
You might still need to pay separately for handsets, headsets, installation, number porting, call recording, CRM integration and enhanced support.
Hosted VoIP is usually a strong option for growing, remote and multi-site businesses, but the best-value provider will depend on your user numbers, required features, call volumes and contract terms.
Compare hosted VoIP quotes from UK providers and see what an appropriate system would cost for your business.
Contents
Benefits of Hosted VoIP Solutions
Hosted VoIP Solutions Providers
How to Choose a Hosted VoIP Provider
Key Takeaways
Hosted VoIP costs from £10 per user/month
No on-site hardware required (fully cloud-based)
Ideal for remote, hybrid, and growing teams
Includes features like call routing, apps, and integrations
Most providers offer 12-36 month contracts
Comparing quotes can reduce costs by 20-40%
Hosted VoIP costs at a glance
Typical UK cost
Basic hosted VoIP licence
Standard business package
Advanced communications package
Contact-centre licence
£35-£100+ per agent/month
Entry-level VoIP handset
£50-£100
Mid-range desk phone
£100-£200
Business headset
£25-£200+
Number porting
Initial setup
£0-£500+
Call recording
CRM integration
Included or £5-£25+ per user/month
These figures are indicative market ranges but your actual price will depend on the provider, number of users, included calls, hardware, features and contract length.
Estimated monthly cost by team size
Number of users
1 user
£8-£30
5 users
£40-£150
10 users
£80-£300
25 users
£200-£750
50 users
£400-£1,500+
100 users
£800-£3,000+
How do we work?
Transparent, impartial, and data‑driven reviews made by a team of expert humans, never AI generated – here’s exactly how Compare Your Business Costs helps you find the best deals from trusted UK providers: click here
Authored by: Ally Cox (Business Technology & B2B Services Specialist 10+ Years’ Experience)
Reviewed by: James Ward (Telecoms Specialist, 12+ Years Experience)
Last Updated: July 2026
Hosted VoIP Pricing (UK 2026)
Business Size Monthly Cost (per user) What You Get
1-5 users
£10-£15
Basic calling, mobile apps
5-20 users
£12-£20
Call routing, integrations
20+ users
£18-£25+
Advanced features, analytics
Some providers also offer:
free setup or onboarding
bundled call minutes
Microsoft Teams integration
Compare hosted VoIP deals tailored to your team →
What Is Hosted VoIP? Hosted VoIP is a business telephone system that runs through a provider’s cloud platform rather than an on-site private branch exchange, or PBX.
VoIP stands for Voice over Internet Protocol and it converts speech into digital data and carries calls through an internet connection rather than a traditional analogue telephone line.
With a hosted system, the provider normally manages:
the core telephone platform;
software updates;
system maintenance;
account administration tools;
feature availability;
external telephone connectivity;
service security;
technical support.
Your employees access the service using:
VoIP desk phones;
cordless IP phones;
desktop applications;
mobile applications;
web browsers;
headsets connected to computers.
The business still controls its users, telephone numbers, call-routing rules and permissions through an online portal.
Hosted VoIP in simple terms A traditional business phone system normally relies on equipment installed at your premises.
A hosted VoIP system moves most of that central functionality into the provider’s cloud platform.
You pay a monthly licence for each user instead of purchasing and maintaining a large on-site telephone exchange.
Is hosted VoIP the same as cloud VoIP? The terms hosted VoIP , cloud VoIP , cloud phone system and hosted phone system are often used to describe broadly the same service and that normally means that:
calls are carried using internet technology;
the main telephone platform is hosted by a provider;
users access the system through phones or applications;
administration takes place online;
the provider manages the central infrastructure.
However, packages vary significantly.
One provider may offer a simple virtual telephone line, while another supplies a complete unified communications platform with messaging, meetings, analytics, CRM integration and contact-centre tools.
Why Businesses Switch to Hosted VoIP Lower costs
No expensive hardware or maintenance
Pay monthly per user
Work from anywhere
Make and receive calls on:
Easy to scale
Add or remove users instantly
Better features
This includes:
call forwarding
voicemail-to-email
call recording
CRM integrations
👉 Most businesses switch to VoIP to cut costs + improve flexibility
Compare hosted VoIP packages
Package type Best for Common features Typical price
Basic
Sole traders and light users
Business number, voicemail, app and basic routing
Standard
Small and medium-sized businesses
Calling, apps, hunt groups, queues and reporting
Advanced
Managers and customer-facing teams
Recording, integrations and advanced analytics
Contact centre
Sales and service agents
Advanced queues, monitoring, dashboards and CRM tools
£35-£100+ per agent/month
Hosted VoIP cost examples Five-person small business A small professional-services company might require:
five user licences;
one main telephone number;
mobile and desktop applications;
a basic call queue;
three desk phones;
number porting.
Cost Example
Five licences at £15
£75/month
Three handsets
£270 one-off
Number porting
£30 one-off
Setup
£100 one-off
Estimated first-year cost
£1,300
Twenty-person hybrid business A hybrid company might require:
20 user licences;
mobile and desktop applications;
department call routing;
call recording for five employees;
CRM integration for ten employees;
ten desk phones.
Cost Example
20 licences at £18
£360/month
Call recording
£40/month
CRM integration
£80/month
Ten handsets
£1,000 one-off
Setup and porting
£400 one-off
Estimated first-year cost
£7,160
Hosted VoIP Solutions Providers
Hosted VoIP vs Traditional Phone Systems
Feature Hosted VoIP Traditional Systems
Setup cost
Low
High
Hardware
None
Required
Flexibility
High
Limited
Remote working
Yes
No
Scalability
Instant
Difficult
👉 For most modern businesses, hosted VoIP is now the default choice
Things to Watch Out For
Long contracts (12-36 months)
Hidden call charges
Poor customer support
Overpaying for unused features
So, always compare multiple providers before committing
How to Choose a Hosted VoIP Provider Do you need reliability and uptime?
We suggest you look for providers with guaranteed uptime and reliable customer support.
Do you prioritise security?
We recommend you ensure the provider offers encryption and other security features to protect your communication data.
Do you need to be able to customise your VoIP solution?
We suggest you choose a provider that offers flexible plans and advanced features tailored to your business needs.
Is hosted VoIP right for your business? Hosted VoIP is likely to suit your business when you:
need more than one business extension;
employ remote or hybrid workers;
want staff to answer business calls on mobiles or laptops;
expect to add or remove users;
operate from several locations;
want call queues, routing or reporting;
need to replace ageing telephone equipment;
want fewer systems installed at your premises;
need integration with Microsoft Teams or CRM software.
It will be less suitable when:
your internet connection is unreliable;
you only need one very basic telephone line;
specialist analogue equipment cannot yet be migrated;
your organisation requires a highly customised on-site telephone system;
you have not planned for power or connectivity failures.
Hosted VoIP suitability checker
Your situation
Is hosted VoIP likely to suit you?
One-person business needing a professional number
Usually
Small office with five to 20 employees
Usually
Remote or hybrid workforce
Strong fit
Multiple offices or sites
Strong fit
High-volume sales team
Yes, with suitable sales features
Customer-service department
Yes, but contact-centre licences may be required
Poor or unstable broadband
Not until connectivity is improved
Business relying on alarms, lifts or analogue devices
Specialist assessment required
Business wanting no long-term commitment
Possibly, but check contract options
Company requiring extensive on-site customisation
Compare hosted and on-premise alternatives
How does hosted VoIP work? When an employee makes a call:
The handset or application converts their voice into digital data.
The data travels through the business internet connection.
The hosted VoIP provider processes and routes the call.
The recipient receives the call through another VoIP service, a mobile network or the public telephone network.
Incoming calls follow the process in reverse and the provider’s platform applies any rules configured by the business, such as:
opening hours;
call queues;
ring groups;
auto-attendant menus;
call forwarding;
voicemail;
overflow destinations;
mobile diversion.
Hosted VoIP versus an on-premise PBX
Feature Hosted VoIP
Central system location
Provider’s cloud platform
Upfront equipment cost
Usually lower
Usually higher
Maintenance
Mostly provider-managed
Business or support contractor
User pricing
Commonly per user/month
Hardware, licences and support
Remote working
Usually straightforward
May require additional configuration
Adding users
Usually completed online
May require hardware or engineering
Control
Provider-dependent
Internal IT requirement
Usually lower
Usually higher
Dependence on internet
High
Varies
Upgrade responsibility
Provider
Business
Hosted VoIP versus SIP trunking SIP trunking allows a business to connect a compatible existing PBX to internet-based telephone services.
Requirement Hosted VoIP SIP trunking
Existing PBX required
No
Usually
Pricing model
Commonly per user
Provider hosts phone platform
Yes
No
Suitable for simple cloud migration
Yes
Best for
SMEs and distributed teams
Businesses retaining a compatible PBX
Hosted VoIP versus Microsoft Teams Phone Microsoft Teams Phone adds business telephone functionality to Microsoft Teams.
Feature Hosted VoIP provider
Main user application
Provider app
Microsoft Teams
Telephone platform
Included
External calling
Usually supplied by provider
Requires Calling Plan, Operator Connect, Direct Routing or another supported model
Microsoft integration
Varies
Native
Setup complexity
Usually lower
Can be higher
Best for
General business use
Microsoft-centred organisations
Hidden hosted VoIP costs Before signing a contract, check for:
VAT;
setup;
installation;
number porting;
handset delivery;
handset rental;
hardware finance;
call charges;
international calls;
call diversion;
additional numbers;
recording;
recording storage;
CRM integrations;
Microsoft Teams integration;
training;
support;
annual price rises;
minimum user commitments;
early termination;
licence-reduction charges;
data-export charges;
broadband upgrades;
routers and network switches.
Ask each supplier to provide:
the initial cost;
the monthly cost;
the expected cost after scheduled increases;
the full cost over the contract;
the cost of leaving early.
Is hosted VoIP secure? Hosted VoIP can be secure when the provider and customer apply appropriate controls.
Look for:
encrypted signalling and voice traffic;
multi-factor authentication;
secure administration;
access permissions;
fraud monitoring;
automatic security updates;
protected data centres;
recording controls;
audit logs;
clear incident procedures.
The business should also:
use strong, unique passwords;
remove accounts when employees leave;
restrict international calling where unnecessary;
review administrator access;
secure routers and Wi-Fi;
keep handsets and applications updated;
monitor unusual calling activity.
Get the Best Hosted VoIP Deal
Costs vary depending on:
number of users
features
contract length
👉 The easiest way to save is to compare quotes.
Compare hosted VoIP providers and get tailored quotes in under 60 seconds →
FAQs What is a hosted VoIP solution?
A hosted VoIP solution is a cloud-based business phone system managed by an external provider. Calls use an internet connection, while the provider operates the central telephone platform.
How much does hosted VoIP cost in the UK?
Hosted VoIP normally costs around £8 to £30 per user per month, excluding VAT. A standard small-business system commonly costs £10 to £25 per user, although hardware, setup and advanced features can add to the price.
Is hosted VoIP suitable for small businesses?
Yes. Hosted VoIP can suit small businesses because it has relatively low initial infrastructure requirements, supports mobile and desktop applications and can scale as the company grows.
Does hosted VoIP require hardware?
Hosted VoIP does not normally require a large on-site PBX. However, a business may still need handsets, headsets, routers, network switches and a suitable broadband connection.
Can hosted VoIP work without desk phones?
Yes. Employees can often make and receive calls through desktop, mobile or browser applications using a headset.
Does every employee need a licence?
Employees who need an individual extension and application account will normally require a licence. Shared phones and common-area devices may be licensed differently.
Are calls included?
Some packages include UK landline and mobile calls. Others provide an allowance or charge calls separately. Check the destinations and fair-use terms.
Can I keep my current business number?
Existing numbers can often be transferred to a hosted VoIP provider. Confirm portability before cancelling your current telephone service.
Is hosted VoIP reliable?
Hosted VoIP can be reliable when it is supported by stable connectivity, correctly configured equipment and a suitable provider. Businesses should also plan for internet and power failures.
What happens if the internet goes down?
Office devices using the affected connection may stop working. Depending on the service, calls can be redirected to mobile applications, external numbers, another office or a backup connection.
Is hosted VoIP secure?
Hosted VoIP can be secure when encryption, access controls, multi-factor authentication, fraud monitoring and software updates are correctly implemented.
Can hosted VoIP support remote workers?
Yes. Employees can usually use the same business number through applications on a laptop or smartphone from any suitable internet connection.
How long are hosted VoIP contracts?
Common contract lengths include monthly rolling, 12, 24, 36 and 60 months. Check scheduled price increases and termination charges before signing.
How long does installation take?
A simple hosted system may be configured within a few working days. Number porting, integrations, multiple locations and complex call flows can extend the migration.
What is the difference between hosted VoIP and cloud PBX?
The terms are often used interchangeably. Both normally describe a telephone platform hosted in the cloud and accessed through an internet connection.
Is hosted VoIP cheaper than a traditional phone system?
It can be, particularly when it reduces on-site hardware, maintenance and separate services. Savings depend on the existing system and the complete replacement contract.
Is hosted VoIP suitable for a call centre?
A hosted platform can support call-centre operations, but standard business licences may not include the required queue, monitoring, analytics and workforce-management features.
Related VoIP Guides & Resources Compare VoIP Systems & Costs
👉 Compare VoIP quotes and save up to 40% →
VoIP Comparisons & Key Decisions
VoIP Providers UK
VoIP Software & Phone Systems
Features, Setup & Performance
Security, Compliance & Technical Guides
Industry & Use Case Guides
Hardware & Equipment
Help & FAQs
👉 Compare Business VoIP Quotes Now
✔ Save up to 40% on costs
✔ Free, no-obligation quotes
✔ Trusted UK providers
Hi, I’m Ally Cox , a senior copywriter and blogger at CompareYourBusinessCosts.co.uk, the UK’s trusted platform for comparing business services.over a decade of experience in the B2B sector, I specialise in simplifying complex topics like leased lines, VoIP, business energy, HR and payroll solutions, accounting software, and EPOS systems .HR, copywriting, and business operations- from clocking-in systems to card machines and office technology .informed, confident decisions when choosing products and services that improve efficiency and save money.
