Microsoft 365 Copilot licensing for SharePoint intranets

What you are paying for and what you get — prices correct as of July 2026

Licence
What it gives your intranet
Cost per user/month
M365 E3 Base platform
SharePoint Online, communication sites, hub sites, Microsoft Search, Viva Connections, basic Purview (sensitivity labels, basic DLP, retention). The foundation everything else builds on.
~£31 increased from ~£29 on 1 July 2026
M365 E5 Base platform + advanced
Everything in E3 plus advanced Purview (eDiscovery Premium, Insider Risk, Communication Compliance), advanced analytics, Defender for Office 365 Plan 2, and audio conferencing.
~£48 increased from ~£46 on 1 July 2026
M365 Copilot Add-on (requires E3 or E5)
AI-assisted page creation, content summarisation, AI-powered FAQ web part, AI chart web part, natural language search grounded in your organisation's SharePoint content. This is where the intranet AI experience lives.
~£24 per user on top of base plan
SharePoint Agents Usage-based
Scoped AI assistants anchored to specific SharePoint sites — for example, an HR agent that answers policy questions from your HR knowledge base. No full Copilot licence needed per user; billed via Copilot Credits (pay-as-you-go or prepaid).
Copilot Credits pay-as-you-go or prepaid
M365 E7 bundle New — launched May 2026
Bundles E5, Copilot, Agent 365, and Entra Suite into a single SKU. Worth running the numbers if you are already on E5 and adding Copilot — the bundled price can be lower than buying each component separately.
Contact Microsoft volume pricing varies
What does this look like for a 500-person organisation on E3?
£15,500
E3 base cost per month
(500 × ~£31)
+£12,000
Copilot add-on per month
(500 × ~£24)
£27,500
Total per month
(£330,000/year)

Note: All GBP figures are approximate conversions from Microsoft's published USD pricing. Actual UK pricing may vary by agreement and channel. Check with your Microsoft partner or the Microsoft licensing page for current rates.