IT Support Costs in London 2026: What SMEs Should Pay

A guide for London SMEs with 10 to 100 staff: what managed IT support costs per user in 2026, why bills are rising this autumn, what should be included and how to spot the extras in a quote.

By Sanish Satheesan CISSP, CIO at Astec IT · October 2026

IT support costs in London are being re-quoted across the capital this autumn. If you run a business with 10 to 100 staff, your renewal may already carry a higher Microsoft 365 bill, a line for Windows 10 security updates and a fresh set of cyber insurance questions. None of that is your IT company being greedy. Some of it is avoidable.

This guide sets out what IT support in London actually costs per user in 2026, what has pushed prices up this year, what a fair contract includes and the questions that expose a padded quote.

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How much does IT support cost in London in 2026?

Most London SMEs pay between £60 and £95 per user per month for fully managed IT support in 2026. Basic remote-only helpdesk cover starts around £40 to £55 per user. Premium contracts with 24/7 monitoring, compliance work and strategic planning run £100 to £150. Pay-as-you-go break-fix support typically costs £75 to £150 an hour.

These bands reflect pricing that UK IT support companies publish for 2026. There is no official market average, so treat them as a guide, not a rule. London quotes tend to sit at the upper end of each band, mainly because onsite engineer time costs more here.

Service levelTypical price per user per monthWhat you usually getBest fit
Basic / remote only£40–£55Business-hours remote helpdesk, patching, antivirus, basic monitoringUnder 10 staff, simple setup
Standard / fully managed£60–£95Helpdesk plus onsite visits, proactive monitoring, Microsoft 365 administration, email security, endpoint protection, backup checksMost 10–100 staff London SMEs
Premium / strategic£100–£15024/7 monitoring, named engineers, compliance support, technology roadmap, advanced security toolingRegulated or technology-dependent firms
Break-fix (no contract)£75–£150 per hourSomeone turns up when something breaksVery small firms with little IT

For a 25-person firm on a standard contract, that is roughly £1,500 to £2,400 a month, or £18,000 to £28,500 a year. Server management, Microsoft licences and project work are usually billed on top, which is where two quotes with the same headline price drift apart.

Why are IT support costs in London rising in 2026?

Three Microsoft changes landed in the same twelve months: higher Microsoft 365 list prices from 1 July 2026, a doubling of the paid Windows 10 security update fee this October and Windows Server 2016 reaching end of support in January 2027. Insurers and clients also now expect a higher security baseline as standard.
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Microsoft 365 renewals cost more

Microsoft raised list prices on most business plans from 1 July 2026. In the UK, Microsoft’s own price list now shows Business Basic at £5.40 and Business Standard at £10.80 per user per month on an annual subscription, excluding VAT. Business Premium did not change. Existing customers see the new price at their first renewal after 1 July, according to UC Today, which is why many London firms are noticing it now. A good IT company reviews your Microsoft 365 licensing before renewal, because unused and mismatched licences are common.

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Windows 10 security updates just doubled in price

Business devices still on Windows 10 need paid Extended Security Updates, and Microsoft doubles the price every year. UK resellers are quoting around £66 per device for Year 1 and £132 per device for Year 2, which starts this month, excluding VAT. ESUs are cumulative: join now and you pay for Year 1 as well. Our Windows 10 end of support guide sets out the options per device.

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Windows Server 2016 ends in January 2027

Windows Server 2016 reaches end of support on 12 January 2027, as The Register reported. Any business still running an on-site server bought around 2017 faces a migration project or another paid extension. Neither is in a standard monthly fee.

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The security baseline moved up

The government’s Cyber Security Breaches Survey 2025/2026 found 46% of small businesses identified a breach or attack in the past year, and 55% now hold some form of cyber insurance. Insurers increasingly ask about multi-factor authentication (a second login check), patching and backups before they renew. That pushes cyber security tools into the standard contract rather than leaving them as extras.

What does managed IT support include, and what costs extra?

A fair managed IT support contract includes the helpdesk, proactive monitoring, patching, endpoint and email security, Microsoft 365 administration and backup checks. Software licences, hardware, server management, major projects and out-of-hours work are often charged separately. The gap between those two lists is where quotes differ most.
Usually included in the monthly feeOften charged on top
Remote helpdesk for every userMicrosoft 365 and other software licences
Patching and updates for laptops and PCsNew laptops, PCs and network hardware
Proactive monitoring and alertsServer management, usually priced per server
Endpoint protection and email filteringProjects: migrations, office moves, new sites
Microsoft 365 user and security administrationOut-of-hours work, unless 24/7 cover is in the contract
Backup monitoringCyber Essentials certification fees
Starters and leaversWindows 10 security updates and server extensions

Onsite visits are the item most often hidden. Some contracts include unlimited visits, some include a set number, and some charge by the hour. Ask which, in writing. The same goes for backups and disaster recovery: checking that a backup ran is not the same as testing that you can restore from it.

Is managed IT support cheaper than in-house IT or break-fix?

For most London businesses with 10 to 100 staff, yes. One experienced in-house support engineer costs more than a standard managed contract for 25 users once employer National Insurance is added, and still leaves you without holiday, sickness or out-of-hours cover. Break-fix looks cheaper until something serious fails.
Option (25-person firm)Indicative annual costWhat it does not cover
Managed IT support, standard band£18,000–£28,500Licences, hardware and projects, unless agreed
One in-house IT support engineerAbout £47,500 (salary around £42,000 plus employer NI), before pension, training and toolsHolidays, sickness, nights, specialist security and cloud skills
In-house IT manager£70,000–£80,000 salary aloneHands-on support at scale, 24/7 cover
Break-fix onlyUnpredictable: £75–£150 per hourPrevention. Nobody watches the systems between call-outs

Salary figures are from Payscale (experienced London support engineer) and Morgan McKinley (London IT manager). Employer National Insurance is 15% above £5,000 a year, per GOV.UK. Many London firms land in the middle: an internal IT lead who works alongside an outsourced team. That co-managed model can cost less than either option alone.

What should you ask before signing an IT support contract?

Ask for the total monthly cost for your headcount, everything excluded, how onsite visits are charged, the written response and resolution times, the notice period and what happens to your data and passwords if you leave. If an IT company cannot answer those clearly before you sign, it will not answer them clearly afterwards.

Put these ten questions to every company quoting you, including the one you use today:

  1. What is the total monthly cost for our headcount, including every tool you will install?
  2. What exactly is excluded, and what is your hourly rate for it?
  3. Are onsite visits unlimited, capped or charged by the hour?
  4. What are your response and resolution times, and will you show us last quarter’s actual figures?
  5. Who answers when we call: a named engineer or a call centre?
  6. Is out-of-hours or 24/7 support included, or a separate charge?
  7. Which security tools are included: multi-factor authentication, endpoint protection, email filtering?
  8. How often do you test restoring our backups, not just check they ran?
  9. When will you review our Microsoft 365 licences, and who keeps the savings?
  10. What is the notice period, and how do you hand over our data, accounts and passwords if we leave?

Question four matters most. Most contracts promise a response time. Fewer track resolution time, which is what your team actually feels. If you are already unhappy with the answers you get, our guide to the signs it’s time to switch your IT support partner covers how to move without disruption.

What does a poor IT support quote look like?

A poor quote shows a low per-user price and leaves the rest vague: onsite time, security tools, server care and out-of-hours work are missing or priced by the hour. A good quote states one monthly total, lists exclusions with their rates and commits to measurable response and resolution times.
Poor quoteGood quote
Low headline price per user, extras undefinedOne monthly total for your headcount, exclusions listed with rates
“Fast response” with no numbersWritten response and resolution targets, with past performance shown
Security tools sold as add-onsMFA, endpoint protection and email security included as standard
Generic helpdesk queueNamed engineers who know your systems
Long lock-in, no exit planClear notice period and a documented handover of data and passwords
Silent on Windows 10 devices and old serversA costed plan for every device and server reaching end of support

This is how we price at Astec IT. Our three support tiers, Pro, Premium and Ultimate, each carry a single predictable monthly fee. From Premium upwards you get dedicated primary and secondary engineers, and every client gets a technology-stack review twice a year, which is when licences, ageing devices and servers get costed before they become surprises.

IT support for London SMEs: what should you expect?

Astec IT is a London-based managed IT support company supporting 10–100 staff SMEs across London, 24/7. London SMEs should expect remote fixes in minutes for most issues, an engineer on site when hardware or networks fail, and one fixed monthly fee that covers both.

Does your IT support company need to be based in London?

Not for most of the work. The majority of issues are fixed remotely, and good outsourced IT support for London businesses runs from anywhere. Location matters when something physical fails: a network switch, a broken laptop before a client meeting, an office move. Then an engineer who can reach your office the same day is worth more than a cheaper company two hours away. Ask how onsite visits are priced and how quickly an engineer can reach you.

Why are London SMEs reviewing IT support costs now?

Renewals. Microsoft 365 price rises hit at renewal, Windows 10 security fees doubled this month and insurers are asking harder questions. Our clients across property, finance, insurance, luxury retail, media, accountancy and charities face the same pattern: costs creeping up while the service stays flat. That is the moment to compare. Our Cyber Essentials requirements guide covers the security questions you are likely to be asked.

Areas we cover

We support businesses across London and Greater London from our head office on City Road, EC1, and across the Home Counties. We also have locations in Hertfordshire, Kent, Surrey, Leicester, Liverpool and Manchester. For small business IT support in London, that means remote help in minutes and engineers on site when you need them, backed by proactive monitoring of your network and devices.

Frequently asked questions about IT support costs

How much does IT support cost per user per month in London?
Most London SMEs pay £60 to £95 per user per month for fully managed IT support in 2026. Basic remote-only cover starts around £40 to £55, while premium contracts with 24/7 monitoring and compliance support run £100 to £150. London quotes tend to sit at the upper end of each band, mainly because onsite engineer time costs more.
What is included in managed IT support?
A standard contract usually includes a remote helpdesk, proactive monitoring, patching, endpoint and email security, Microsoft 365 administration, backup monitoring and starters and leavers. Software licences, hardware, server management, projects and out-of-hours work are often charged separately. Ask for the exclusions in writing with their rates before you compare prices.
Why has my IT support bill gone up in 2026?
Usually because of Microsoft rather than your IT company. Microsoft 365 list prices rose from 1 July 2026, with Business Basic now £5.40 and Business Standard £10.80 per user per month in the UK, applied at your next renewal. Paid Windows 10 security updates doubled to around £132 per device this October.
Is it cheaper to hire an IT person or outsource IT support?
For most businesses with 10 to 100 staff, outsourcing costs less. An experienced London support engineer costs about £47,500 a year including employer National Insurance, before pension, training and tools. A standard managed contract for 25 users costs roughly £18,000 to £28,500 and includes holiday, sickness and specialist cover.
How much does break-fix IT support cost?
Break-fix, or pay-as-you-go, IT support typically costs £75 to £150 an hour in the UK, often with minimum charges for onsite visits. It suits very small firms with simple setups. For larger teams it tends to cost more over a year, because nobody monitors systems between call-outs and problems surface as downtime.
Do you provide IT support for London businesses?
Yes. Astec IT is a London-based managed IT support company with its head office on City Road, EC1. We support businesses with 10 to 100 staff across London, 24/7, with dedicated engineers from our Premium tier upwards, and onsite visits when hardware or networks need hands-on work.
Does my IT support company need to be local to my London office?
Not for most day-to-day work, which is fixed remotely. Being local matters when something physical fails, such as a network switch, an office move or a broken laptop before a client meeting. Ask any IT company how onsite visits are charged and how quickly an engineer can reach your London office.
What is the best IT support option for a London SME?
For most London SMEs with 10 to 100 staff, a fully managed contract with a fixed monthly fee, named engineers and written response and resolution targets gives the best balance of cost and cover. Firms with an internal IT lead may prefer co-managed support, where an outsourced team covers the gaps.

What to do next

You do not need to switch IT company to find out whether you are paying the right amount. You need three numbers from your current one.

Ask for your total monthly cost per user including every tool and licence, a list of what is excluded with rates, and last quarter’s actual response and resolution times. If those figures arrive quickly and look fair, good. If they do not, you have your answer.

For more practical guides on costs, security and switching, see our resource library for London SMEs.

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Want to compare?

Send us those three numbers and we will show you ours: how we would price your headcount, what is included and how we perform on response and resolution. Book a consultation with our London team.

About the author

Sanish Satheesan CISSP is Chief Information Officer at Astec IT. He has worked in IT for more than 15 years, including 11 years at Netstar, where he rose from service engineer to professional services manager, and two and a half years as Information Security Manager at CRU. Since 2021 he has held the ISC2 Certified Information Systems Security Professional (CISSP) certification, and he studied at Kingston University. He writes regularly about cyber resilience, incident response and IT audits for UK SMEs.

Connect with Sanish on LinkedIn