Upcoming Price Changes for Microsoft Dynamics 365 Business Central (On-Premise & SaaS)
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Upcoming Price Changes for Microsoft Dynamics 365 Business Central (On-Premise & SaaS)

5 min read Jun 26, 2025

Microsoft has recently announced upcoming pricing changes, effective October 1, 2025. These changes affect both on-premise and cloud (SaaS/CSP) deployments of Dynamics 365 Business Central. They are part of Microsoft’s broader efforts to harmonize pricing, simplify plans, and drive cloud innovation. 

Dynamics 365 Business Central On-Premise 

1. Service Plan Increases (Enhancement & Advantage Plans) 

Effective October 6, 2025, Microsoft is increasing the annual rates for Enhancement Plans (EP) and Advantage Plans (AP) by 1 percentage point: 

  • 1-year EP: from 19% 20% of Protected List Price (PLP) 
  • 1-year AP: from 21%22% of PLP 
  • 3-year EP: from 57%60% of PLP 

Multi-year plans retain their original rate for the entire term but cannot be terminated early. 

Scope: Applies to Dynamics on-premises licenses purchased through DPL. 
Excludes: Advantage Plus Plans (APP), SQL embedded support, and Software Assurance (SA) via Enterprise Agreements.  

2. Base Price Increases for Perpetual and Subscription Licenses 

Starting October 1, 2025, Microsoft will increase the Estimated Retail Price (ERP) for core on-premise products: 

  • +10% for key SKUs under perpetual licensing (Business Central, NAV, GP) 
  • +10–14% for subscription licensing (Business Central, NAV, GP) 
  • 5% Azure hosting discount is being eliminated 

These updates align with Microsoft’s goals to simplify licensing and support a smoother transition to cloud-based solutions.  

Dynamics 365 Business Central Online (CSP/SaaS) 

Price and Storage Increases for Business Central SaaS 

Microsoft has announced the first official price increase for Business Central Online in over five years. though it’s worth noting that European customers and those using monthly billing under New Commerce Experience have already experienced increases in the past years. 

Effective October 1, 2025, both pricing and included storage entitlements will be updated: 

Business Central Pricing Table
Product Before Oct 1, 2025 After Oct 1, 2025
Business Central Essentials $70/user/month with 2GB $80/user/month with 3GB
Business Central Premium $100/user/month with 3GB $110/user/month with 5GB
Business Central Device $40/device/month with 1GB $45/device/month with 1.5GB

These changes apply to new subscriptions and to renewals occurring on or after October 1, 2025. 

While Microsoft highlights significant product enhancements, including Copilot AI features, improved analytics, and tighter Power Platform integration, it’s important to note that this is not the first price revision in recent history, particularly for NCE-based and regional subscriptions.  

What Should You Do Now? 

We recommend the following steps to help you navigate these changes: 

  1. Review your current licensing setup On-premise or cloud.
  2. Assess financial impact based on user count and subscription type. 
  3. Explore migration to SaaS if you're currently on-premise and looking for long-term flexibility. Ideally, look into utilizing the Bridge to the Cloud 2 (BTTC2) promotion to benefit from a 40% discount as well as price protection for 3 years.  
  4. Contact us to discuss timing, budgeting, and optimization strategies ahead of the changes  

As these pricing changes roll out, we remain committed to guiding you through each step. Whether you're considering a transition to the cloud or optimizing your current Microsoft Dynamics 365 Business Central configuration, we're ready to support you. 

Reach out to your BE-terna account contact today for a personalized consultation. 

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About the Author

Mathias Dam Ejlertsen

Partner Alliance Specialist