From 1 April 2026, Microsoft will no longer provide a free grace period after a subscription expires. This means that:
- If a subscription is not renewed, access to the service will stop immediately at the end of the term.
- To continue using the service, you must either:
- Renew the subscription, or
- Move to a paid Extended Service Term (EST).
What is the Extended Service Term (EST)?
Microsoft is introducing an Extended Service Term to help customers stay connected while they finalise decisions about renewals.
Key points about EST:
- You keep access to your services after the normal term expires.
- It is billed at the standard monthly rate plus a 3% uplift.
- You can cancel at any time, and billing is prorated.
EST is designed as a short‑term safety net if you need more time to decide on renewals, migrations or changes, without losing access.
What happens at subscription expiry from 1 April 2026?
After a subscription expires, there are three options:
- Renew to a new term
- Continue as normal on a new subscription term.
- Cancel at end of term
- Service access ends immediately when the term finishes.
- No grace period is provided.
- Move to Extended Service Term (EST)
- Service continues beyond the original end date.
- Charged monthly at standard rate + 3% uplift.
- Cancel any time.
Some subscriptions that meet certain conditions will be automatically moved into EST at expiration. This applies when all three of the following are true:
- The subscription was purchased on or after 1 April 2025
- It expires on or after 1 April 2026
- Auto‑renew is turned off
What this means for your organisation
To avoid unexpected service interruption or charges:
- Review your current Microsoft subscriptions and renewal dates.
- Decide whether you want to:
- Renew on a new term,
- Intentionally end the service at term, or
- Use the Extended Service Term (EST) as a temporary option.
- Make sure auto‑renew settings are aligned with your plans.
We recommend discussing your upcoming expiries with us before your terms end so we can help you pick the best option for your business and avoid surprises.
