Table of Contents
- What Is a VoIP Phone System?
- The UK PSTN Switch-Off: 31 January 2027
- Why Are Businesses Switching to VoIP?
- Lower costs
- Flexibility for remote and hybrid work
- Advanced features for better communication
- Scalability for growing businesses
- Clearer call quality
- How to Choose the Right VoIP Provider
- Consider the features you need
- Check reliability and uptime
- Compare costs and contracts
- Look for good customer support
- Plan for power cuts and internet outages
- Setting Up a VoIP Phone System for Your Business
- 1. Assess your internet connection
- 2. Audit analogue-dependent equipment
- 3. Choose your hardware
- 4. Port your number and configure the system
- 5. Train your team
- Frequently Asked Questions
- Is a VoIP Phone System Right for Your Business?
Communication is the backbone of any business. When the phone system falters, daily operations suffer, customer service weakens, and teams struggle to collaborate. Traditional phone lines are costly, inflexible, and — in the UK — living on borrowed time. That is why so many companies are switching to a VoIP phone system.
What Is a VoIP Phone System?
VoIP (Voice over Internet Protocol) lets businesses make and receive calls over an internet connection instead of a traditional landline. It converts voice into digital signals, making communication smoother and more affordable. With a VoIP phone system, businesses can handle multiple calls at once, forward them to the right department, and integrate calling with customer management tools. It is not just about making calls — it is about making communication better.
The UK PSTN Switch-Off: 31 January 2027
If your business still uses an analogue phone line or ISDN, this is the most important date on your calendar: Openreach will retire the UK’s PSTN and ISDN networks on 31 January 2027, and that date is not moving.
What this means in practice:
- Any business line still running on the old analogue network will simply stop working on 1 February 2027. The limited emergency safety net (EVAc) applies to residential customers only — businesses get no grace period.
- Around 350,000 UK business premises were still on legacy lines in 2026, so you are not alone — but you are running out of road.
- Openreach has been raising wholesale rental charges on remaining analogue lines, with a further increase due in October 2026. Staying put gets more expensive every year.
- Number porting, broadband provisioning, and engineer visits all take longer as the deadline approaches. Order your replacement service now, not in January 2027.
For most small and mid-sized businesses, a hosted VoIP system is the natural replacement. If you have invested heavily in an on-premises PBX you want to keep, ask providers about SIP trunking, which connects existing hardware to the internet-based network.
Why Are Businesses Switching to VoIP?
Lower costs
Phone bills add up quickly, especially for businesses with high call volumes. Most UK VoIP plans are priced per user per month — typically £5.95 to £19+ per user per month depending on features — and most offices find VoIP reduces overall telephony costs by 30–50% compared with traditional landlines. International calls are usually much cheaper, and calls between users on the same system (on-net calls) are often free. You also avoid expensive hardware: most providers offer software-based solutions that run on existing computers, tablets, and mobiles, so there are no heavy upfront costs or maintenance fees.
Flexibility for remote and hybrid work
Teams are no longer tied to one office. A VoIP phone system keeps everyone connected regardless of location — employees use a single business number across multiple devices, whether at a desk, in a café, or on a train, making and receiving calls as if they were in the office.
Advanced features for better communication
Call forwarding ensures customers reach the right person every time. Voicemail-to-email sends messages straight to an inbox, making missed calls easier to track. Conference calling lets multiple people join without extra charges, and auto-attendant gives a professional touch by directing callers to the right department.
Scalability for growing businesses
Expanding a traditional phone setup means more lines, hardware, and infrastructure. With VoIP, adding a new user is usually as simple as updating the software — no extra cabling or engineer visits. Ideal for businesses hiring quickly or opening new locations.
Clearer call quality
VoIP once had a reputation for poor audio. With a stable broadband connection, modern systems deliver high-definition voice quality that matches or beats traditional lines. A wired Ethernet connection is more reliable than Wi-Fi for desk phones.
How to Choose the Right VoIP Provider
Not all VoIP services are the same. Shortlist providers against your needs, budget, and existing infrastructure. Established UK-market options include Gamma Horizon (widely used by UK SMEs via resellers), 3CX (good for businesses wanting control over their own system), RingCentral and 8×8 (feature-rich unified communications), Microsoft Teams Phone (natural fit if you already run Microsoft 365), Vonage, and BT Cloud Voice. Indicative pricing sits around £5.95–£19 per user per month; always confirm current plans, as pricing changes.
Consider the features you need
List your essentials before comparing: call recording for customer service? Video conferencing? CRM integration? Choose a provider that matches your needs without paying for extras you will never use.
Check reliability and uptime
Look for providers offering a 99.9% uptime SLA or better. Downtime means missed calls and lost business. Also ask what happens when your internet fails (see failover below) — provider uptime and your own connectivity are two different things.
Compare costs and contracts
Check for hidden fees: charges for extra features, international rates, number porting fees, and minimum contract terms. Can you cancel monthly, or are you locked in for 12–36 months?
Look for good customer support
When the phones go down, you need fast help. Look for 24/7 support across phone, email, and chat, and check independent reviews of response times.
Plan for power cuts and internet outages
VoIP needs both broadband and electricity — unlike old analogue lines, which carried their own power. Ask providers about failover options: automatic call forwarding to mobiles, 4G backup routers, and UPS (uninterruptible power supply) units for critical desk phones. Test the failover before you need it.
Setting Up a VoIP Phone System for Your Business
1. Assess your internet connection
Check your broadband speed and stability; each concurrent call needs roughly 100 kbps. Upgrade if necessary, and prefer wired Ethernet for desk phones over Wi-Fi.
2. Audit analogue-dependent equipment
Before migrating, check what else rides on your old phone line: alarms, door entry systems, card payment terminals, lift emergency lines, and fax machines may all depend on the analogue connection and need separate solutions (mobile-connected alarms, IP-based terminals) before the switch-off.
3. Choose your hardware
Many businesses use existing computers and smartphones with softphone apps. For a more professional setup, consider VoIP desk phones, headsets, and conference speakerphones.
4. Port your number and configure the system
You can usually keep your existing business number — the process is called number porting and is normally straightforward, though it can take 1–2 weeks, so start early. Then configure call forwarding rules, voicemail, auto-attendant menus, and extensions to match your workflow.
5. Train your team
Allow a short learning curve: show staff the new features, agree on call-answering standards, and share basic troubleshooting steps. Most providers offer tutorials and onboarding support.
Frequently Asked Questions
When is the UK PSTN switch-off?
31 January 2027. After that date, analogue and ISDN lines stop working. Businesses should migrate well before the deadline.
How much does business VoIP cost per user in the UK?
Typically £5.95–£19+ per user per month depending on features and provider. Most businesses save 30–50% versus traditional landlines.
Can I keep my existing phone number?
Yes, in most cases. Number porting is normally straightforward but allow 1–2 weeks.
Does VoIP work during a power cut?
No — VoIP needs broadband and electricity. Mitigate with call-forwarding to mobiles, 4G backup, and UPS units for critical phones.
What is the best VoIP provider for a small UK business?
There is no single best choice; shortlist 2–3 from established UK-market providers (e.g. Gamma Horizon, 3CX, RingCentral, Microsoft Teams Phone, BT Cloud Voice) against your feature needs, contract flexibility, and support quality.
Is a VoIP Phone System Right for Your Business?
If your business still relies on traditional phone lines, the 2027 switch-off makes this decision for you — the only question is timing. A VoIP phone system is cheaper, more flexible, and packed with features, and it works for startups, growing SMEs, and remote teams alike. Start the migration now while porting slots and engineer availability are still comfortable. For more on keeping customers happy through the change, see our guide to customer service outsourcing strategies.
Sources: Openreach PSTN retirement programme (via Edinburgh Live/Grimsby Telegraph, Oct 2026); Connection Technologies UK switch-off status (Sept 2026); provider pricing from AMVIA and Ringover 2025 UK roundups; savings figure via business-quote.co.uk. Pricing and availability change — confirm with providers before committing.
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