Microsoft 365 Business Premium just got even better: E5 Security & E5 Compliance add-ons transform SMB capabilities

Microsoft 365 Business Premium is already our go-to recommendation for small and medium businesses looking for robust productivity and security tools at a great price. Microsoft has supercharged this offering by making both the E5 Security and E5 Compliance add-ons available to Business Premium customers (previously they were E3-only add-ons). This is a game changer that brings enterprise-grade security and compliance within reach of smaller organisations, without the huge cost.

Why Business Premium is still exceptional value

Microsoft 365 Business Premium continues to be an amazing foundation for any modern business. Starting from under £17 per user per month, you get:

Complete Office suite

• Full desktop applications (Word, Excel, PowerPoint, Outlook, etc)
• Web and mobile versions of all apps
• Installation on up to 5 devices per account
• 1TB of OneDrive storage per user

Built-In security foundation

• Microsoft Defender for Business (endpoint protection)
• Microsoft Defender for Office 365 plan 1 (email protection)
• Microsoft Entra ID plan 1 (identity management)
• Basic data loss prevention (DLP)
• Mobile device management with Microsoft Intune

Business communication tools

• Microsoft Teams (chat, video conferencing, file sharing)
• Exchange Online (50GB mailboxes with archiving)
• SharePoint for collaboration and file storage

Changing the game: E5 Security & E5 Compliance add-ons

The big news is that from June this year, Microsoft made the E5 Security add-on available to Business Premium customers starting from around £8 per user per month, with E5 Compliance following in late August at the same price point. Each of these add-ons represents a 57% saving compared to buying each of the tools individually, and together they transform Business Premium into an enterprise-grade platform.

What E5 Security adds to your arsenal

🎯 Enhanced Identity Protection

Smarter access controls that adapt to user behaviour and risk levels, plus tools to manage privileged accounts. Think of it as having a security guard who knows when something looks a little bit sus.

🛡️ Advanced endpoint security

📧 Premium email protection

Automatic investigation of email threats and advanced reporting to spot trends. Your email security goes from reactive to proactive.

🔍 Advanced identity monitoring

Keeps watch over your on-premises systems for signs of compromise, tracking how attackers might move through your network and spotting stolen credentials before they can cause damage.

☁️ Cloud application security

Discovers what cloud apps your staff are actually using (often more than you think), controls access to approved applications, and extends your data protection policies across all cloud services.

What E5 Compliance brings to your business

Coming in late August 2025, the E5 Compliance add-on will complete the enterprise-grade transformation by adding Microsoft's most advanced data governance and compliance capabilities to Business Premium.

🔍 Advanced eDiscovery

Sophisticated legal discovery tools that automatically find and organise documents across your entire digital estate. Like having a research assistant that never sleeps

🕵️ Insider risk management

Monitors employees behaviour to spot potential data theft while respecting privacy. Flags when digital behaviour suggests someone might be planning to leave with your data.

💬 Communications compliance

Automatically scans messages for inappropriate content or regulatory violations. Your own digital compliance officer that flags what needs to be checked out.

🚧 Information barriers

Prevents conflicts of interest by stopping specific groups from collaborating. Digital walls that enforce your business rules automatically.

🔐 Customer lockbox & key management

Gives you complete control over when Microsoft can access your data and lets you hold your own encryption keys.

🛡️ Advanced data protection

Extends security beyond email to every device and app where your data lives. Security guards for your information everywhere, not just at the front door.

🏷️ Automatic data classification

Uses AI to identify and protect sensitive data automatically, applying security controls without users having to think about it.

When these add-ons make sense

The E5 Security & Compliance add-ons aren't for everyone, but they're ideal if you:

✅ Face advanced threat landscapes
If you operate in sectors targeted by sophisticated attackers, handle sensitive customer or financial data, need to meet cyber insurance requirements, want proactive threat hunting capabilities.

✅ Require enhanced compliance & governance
If you must demonstrate advanced security controls for audits, need to meet regulatory requirements (GDPR, finance, healthcare, etc), handle legal discovery requests or litigation, require detailed audit trails and reporting, need to prevent insider threats and data leakage.

✅ Want enterprise-grade capabilities
If you need automated investigation and response, require advanced data classification and protection, and need to monitor and control internal communications.

✅ Have growth ambitions
If you're planning to handle more sensitive data, are expanding into regulated markets, have board-level demand for enterprise-grade security and compliance, or have had recent incidents that have highlighted gaps.

What should you know before implementing?

Licensing strategy

It's super important to note that if you add E5 Security to some users but not others, some features will default to the Business Premium level across the entire tenant. To unlock the full potential, you will need to add the add-on for every users in your tenant.

Deployment complexity

These are enterprise-grade tools that need proper configuration and ongoing maintenance and management. E5 Security needs expert setup for threat hunting and automated response, while E5 Compliance requires careful policy design for DLP, insider risk management, and communications compliance. Without expert implementation and monitoring, you won't realise the full value of your investment.

User training requirements

E5 Security features are only effective if properly configured and the results are acted on. E5 Compliance tools need users to understand data classification, policy implications, and proper handling of sensitive information. Your team will need guidance on interpreting alerts, responding to incidents, and maintaining compliance standards.

In summary, it's great value for enterprise-grade capabilities

Microsoft 365 Business Premium with both E5 Security and E5 Compliance add-ons delivers enterprise-grade security and compliance at around £35 per user per month, which is still significantly cheaper than the full Microsoft 365 E5 Enterprise licensing, while providing the core capabilities more businesses actually need.

If you're ready to explore how these enhanced security and compliance capabilities could benefit your organisation, get in touch with our team to discuss your specific requirements and we'll help you make the right licensing decisions for your business.

If you're still using Business Standard, speak to us as soon as you can about switching up to Business Premium, so you can take advantage of the amazing inclusions for just a few quid more than your existing licenses.

In today's threat landscape, the questions isn't whether you can afford enhanced security and compliance, it's whether you can afford not to have them.