Why UK Businesses with Microsoft E3 or E5 Should Switch to Business Premium and Security Add-Ons
- Nevada IT Blogger
- Jan 4
- 3 min read
Many UK businesses currently using Microsoft 365 E3 or E5 plans with fewer than 300 users face a critical decision. While E3 and E5 offer a broad range of features, switching to Microsoft 365 Business Premium combined with targeted security add-ons can deliver better value, enhanced security, and simpler management tailored to smaller organisations. This post explains why this switch makes sense, highlighting practical benefits and real-world examples.
Microsoft 365 Business Premium dashboard provides tailored security and productivity tools for small to medium UK businesses.
Understanding the Differences Between Microsoft E3, E5, and Business Premium UK
Microsoft 365 E3 and E5 are enterprise-level plans designed for large organisations with complex IT needs. They include advanced compliance, analytics, and security features. However, these plans can be costly and sometimes include features that smaller businesses do not need.
Business Premium is designed specifically for small and medium-sized businesses (SMBs) with up to 300 users. It combines productivity apps with advanced security and device management tools, offering a more focused package.
Key distinctions include:
User Limits
E3 and E5 have no user limits, but Business Premium caps at 300 users, aligning with many SMBs’ size.
Security Features
Business Premium includes essential security tools such as Microsoft Defender for Business, Intune device management, and Azure Information Protection, which can be enhanced with add-ons.
Cost Efficiency
Business Premium typically costs less per user than E3 or E5, especially when factoring in the need for additional security add-ons in enterprise plans.
Why Business Premium Fits UK SMBs Better
1. Tailored Security for Smaller Teams
UK businesses with fewer than 300 users often face the same cyber threats as larger companies but lack dedicated IT security teams. Business Premium includes built-in security features designed for SMBs:
Microsoft Defender for Business protects against malware, ransomware, and phishing attacks.
Conditional Access Policies help control who can access company data.
Device Management through Intune allows remote management and security enforcement on employee devices.
Adding specific security add-ons, such as Microsoft Defender for Endpoint Plan 2 or Azure AD Premium P2, can further enhance protection without the complexity or cost of E5.
2. Simplified Licensing and Management
Managing multiple licenses and add-ons in E3 or E5 can be complex for smaller IT teams. Business Premium provides a more straightforward licensing model that bundles productivity and security tools in one package. This reduces administrative overhead and makes compliance easier.
3. Cost Savings Without Sacrificing Features
E5 licenses include advanced analytics and compliance tools that many SMBs do not use. By switching to Business Premium and adding only the necessary security features, businesses can save significantly.
For example, a UK company with 150 users might pay around £30 per user per month for E5. Switching to Business Premium at approximately £15 per user per month plus a security add-on at £5 per user per month can reduce costs by nearly 30%, while maintaining strong security.
Real-World Example: A UK Marketing Agency
A London-based marketing agency with 120 employees was using Microsoft 365 E3 but struggled with rising costs and complex security management. They switched to Business Premium and added Microsoft Defender for Business and Azure AD Premium P1.
Results:
Reduced monthly licencing costs by 25%.
Improved endpoint protection with Defender for Business.
Simplified user and device management through Intune.
Enhanced identity protection with Azure AD features.
This switch allowed their small IT team to focus on strategic tasks rather than troubleshooting security issues.
How to Choose the Right Security Add-Ons
Business Premium covers many security basics, but some businesses need extra layers depending on their risk profile. Consider these add-ons:
Microsoft Defender for Endpoint Plan 2 for advanced threat detection and response.
Azure AD Premium P2 for identity protection and access management.
Microsoft Cloud App Security for monitoring cloud app usage and preventing data leaks.
Evaluate your business needs carefully. For many UK SMBs, Business Premium plus one or two add-ons provides a balanced, cost-effective security posture.
Steps to Make the Switch Smoothly
Assess Current Usage
Review which E3/E5 features your business actively uses.
Identify Security Gaps
Determine if Business Premium’s built-in security meets your needs or if add-ons are required.
Plan Migration
Work with us (Nevada IT Ltd) to map out the transition
Test and Train
Pilot the new setup with a small group before full rollout. Provide training on new security features.
Monitor and Adjust
Use Microsoft 365 security reports to track protection levels and adjust add-ons as needed.
Switching from Microsoft 365 E3 or E5 to Business Premium with security add-ons offers UK businesses under 300 users a practical way to reduce costs, simplify management, and strengthen security. By focusing on the features that matter most, companies can protect their data and empower employees without paying for unused extras.
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