The US giant Microsoft has announced that it is planning to increase product costs, including on-premise software and cloud services, for the UK.

MicrosoftPrices will come into effect January 2017 are anticipated to rise up to 22% for cloud-based services and up to 13% for software. Microsoft has claimed that the increase in pricing has been caused by the referendum this year, which saw Great Britain exit the European Union.

The new prices will affect software programs such as Word, PowerPoint, and Outlook, in addition to forcing price increases for hosting partners and resellers.

“We periodically assess the impact of local pricing of our products and services to ensure there is reasonable alignment across the region and this change is an outcome of this assessment,” Microsoft said. “These changes are similar to the recent harmonisation adjustments to pricing in Norwegian krone and Swiss franc we made in April 2016.”

Microsoft itself has admitted that the price hike will affect thousands of businesses throughout the UK but has reiterated that UK customers with multi-year agreements with the company itself will not be affected by the price increase.

More information to follow.

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