Leased Line Cost

Leased line cost UK — the honest 2026 price breakdown

What businesses actually pay per month, install fees, hidden ECCs, and how to shave 20–40% off any quote. Independent, no sales pitch.

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How much does a leased line cost?

The short answer for a UK SME: £200 to £1,200 per month, depending on speed and location. The long answer is that leased line pricing is one of the most opaque markets in UK business telecoms — the same 200 Mbps circuit into the same building can be quoted at £280/mo by one carrier and £520/mo by another, using identical Openreach infrastructure.

Below is a real-world price breakdown, followed by the specific line items that push quotes up or down. All prices are ex-VAT and assume a 36-month term (the most common contract length).

Monthly cost by bandwidth

BandwidthLow quoteTypicalHigh quoteBest fit
100 Mbps£195/mo£265/mo£380/mo10–25 users
200 Mbps£280/mo£395/mo£560/mo25–50 users
500 Mbps£430/mo£620/mo£850/mo50–100 users
1 Gbps£620/mo£850/mo£1,250/mo100+ users, on-site hosting
10 Gbps£1,800/mo£2,600/mo£4,500/moData centres, ISPs, large sites

Prices ex-VAT, 36-month term, urban UK postcode within 2km of a fibre aggregation node. Source: aggregated 2025 quotes across 20+ UK carriers.

What actually drives the price

1. Distance from the aggregation node. Every extra metre of fibre from the nearest carrier point of presence to your building costs money. A postcode 500m from a fibre node might quote £280/mo for 200 Mbps; the same speed 4km out could quote £600/mo purely on distance.
2. Excess Construction Charges (ECCs). If new fibre needs to be pulled — trenching, road crossings, wayleaves — the carrier passes those costs on. Typical range: £0 (existing fibre in-building) to £15,000+ (rural or industrial estates). Most carriers will absorb up to £2,800 of ECCs on a 3-year term.
3. Contract length. A 60-month term usually shaves 15–25% off the monthly rate versus 36 months. A 12-month term is 40–60% more expensive and rarely worth it.
4. SLA tier. Standard business SLA (99.9% uptime, 4-hour fix) is included. Premium SLA (99.99%, 1-hour fix, dedicated account manager) adds £50–£150/mo.
5. Bearer vs port speed. Carriers often quote a 1 Gbps bearer with a 200 Mbps port — meaning you pay for 200 Mbps today but can burst to 1 Gbps later with a same-day upgrade. Worth £30–£50/mo extra if you're growing.

How to cut 20–40% off any leased line quote

  • Get at least 3 quotes on identical spec (same speed, same term, same SLA). The spread is almost always £150+ per month.
  • Ask for the "bearer 1 Gbps, port to spec" configuration — future-proofs the line without the full 1 Gbps price.
  • Push back on ECCs. Carriers can absorb them into monthly rental if your term is 36+ months.
  • Time your renewal. Wholesale leased line pricing drops 8–15% each year. If you're mid-contract on a legacy price, an early renewal at a new lower rate + extended term often pays for itself.

Frequently asked questions

How much does a leased line cost per month in the UK?

For a typical UK SME, expect £200–£350/mo for 100 Mbps, £300–£500/mo for 200 Mbps, £500–£800/mo for 500 Mbps, and £700–£1,200/mo for a full 1 Gbps circuit. Prices depend heavily on your postcode, distance from the nearest fibre aggregation point, and any excess construction charges (ECCs) required.

Why do leased line quotes vary so much between providers?

Every provider uses the same underlying Openreach or Cityfibre infrastructure in most postcodes, but marks up the wholesale cost differently, bundles support and hardware differently, and applies different contract lengths (3 vs 5 years). Getting 3+ quotes routinely saves 20–40% on the same bandwidth.

Are there any upfront or install costs?

Most providers waive install fees on 3-year contracts. On a 12-month term you may pay a £1,000–£2,500 install charge. If your building needs new fibre pulled from the road, expect ECCs of £2,000–£15,000+ — but these are usually spread across the contract term or waived on longer deals.

Is a leased line cheaper than multiple standard broadband lines?

For 10+ users relying on cloud tools, hosted VoIP or video conferencing, yes. A single 200 Mbps leased line at £400/mo typically replaces 2–3 FTTP lines plus the productivity cost of contention, packet loss and unpredictable upload speeds.

How long is a typical leased line contract?

Standard terms are 12, 36 or 60 months. 36 months is the sweet spot — you get most of the discount versus a 60-month lock-in, and pricing typically resets lower at renewal as wholesale costs fall.

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