We need to talk about... Power Automate... Licensing

Next in my blog, I am going to cover a topic that has come up several times in recent conversations with clients.....Microsoft Licensing! particularly Power Platform licensing of tools like Power Apps, Power Automate and Power Pages.

Demystifying Power Automate Licensing

Power Automate is one of Microsoft’s most powerful tools for transforming data, automating processes, and digitising apps. It allows us to create custom applications quickly without the need for heavy coding expertise. But one of the first questions I ask when I start working with clients is...........

“How is it licensed?”

Microsoft does not make it easy for us, so in today's blog, I am going to try to break down Power Automate licensing.

Why this matters

Licensing is not always just associated with cost as it can also determine how best your team can build solutions using the Power Platform as a whole and what level of flexibility they get.

The Basics of Power Automate

Power Automate, part of the Microsoft Power Platform, allows partners and in-house technical teams to automate workflows, streamline repetitive tasks, and connect disparate systems with ease.

However, before engaging in any sort of build activity, a solid understanding of the licensing model is crucial to ensure you select the right plan for your needs and budget.

Power Automate Licensing Options

Power Automate Premium (Per User Plan)

Priced at £11.50 per user/month, this plan is designed for businesses aiming to drive company-wide automation. It allows individual users to create and run unlimited cloud flows, including automated, instant, and scheduled workflows, as well as unlimited business process flows.

Users also have access to desktop flows (RPA) in attended mode with one bot included, plus standard, premium, and custom connectors. The plan includes 5,000 AI Builder service credits, process mining capabilities with 50 MB of process mining data storage (up to 100 GB per tenant), and Dataverse storage of 250 MB with 2 GB file capacity.

Power Automate Process (Per Bot Plan)

At £115.30 per bot/month, this plan is aimed at teams using at unattended robotic process automation (uRPA). It includes one bot to run a core business process, such as invoice processing or HR onboarding, and any related child flows do not require additional licences.

The plan provides 5,000 AI Builder service credits per month, along with 50 MB of Dataverse database storage and 200 MB of file capacity. Additional licences are required for each new core flow.

This option is best suited for organisations automating critical enterprise processes that need to run without human interaction, such as finance approvals or large-scale customer onboarding.

Power Automate Per User (Standard Plan)

At £12.30 per user/month, this is the most cost effective plan available and often the plan organisations will use to run a POC or to start their journye with Power Automate. This plan offers unlimited cloud and business process flows, with access to standard, premium, and custom connectors. However, it does not include AI Builder capabilities.

Users also receive 250 MB of Dataverse storage and 2 GB of file capacity. This plan is ideal for individuals who need the flexibility to build and run their own automated workflows without advanced AI features.

Power Automate Per Flow (Per Flow Plan)

Priced at £80.30 per flow/month (with a minimum purchase of five flows), this plan allows teams to create and run both cloud and business process flows.

It includes access to standard, premium, and custom connectors, along with 50 MB of Dataverse database storage and 200 MB of file capacity.

This plan is perfect for organisations that have a few high-impact flows that need to be triggered by multiple users without requiring individual licences.

Power Automate Licensing Add-Ons

Microsoft offers several add-ons to extend Power Automate’s capabilities. The Process Mining Add-On, priced at £3,844.80 per tenant/month, enables organisations to visualise, analyse, and optimise business processes, providing 100 GB of process mining data storage, 2 GB of Dataverse database capacity, and 1 TB of file capacity.

For AI-driven automation, the AI Builder Add-On costs £400.40 per unit/month and includes 5,000 AI Builder service credits, allowing users to integrate prebuilt or custom AI models into workflows.

Additionally, the Hosted RPA Add-On, priced at £170.20 per bot/month, enables unattended RPA with Microsoft-hosted machines, providing access to desktop flows and 5,000 AI Builder service credits per month.

Premium Features and Add-ons

Premium connectors unlock integration with enterprise systems like Salesforce, SAP, and Oracle, as well as on-premises data gateways.

For flows that leverage AI, such as document processing or sentiment analysis, additional AI Builder credits may be required.

Organisations looking to implement desktop automation will need RPA capabilities, which are available through the Process Plan or as add-ons.

Licensing Considerations

When choosing a plan, consider whether a user-based or flow-based model suits your needs.

The Per User Plan works best when many employees need to build their own flows, while the Per Flow Plan is ideal for centrally managed automation. Public sector organisations, including NHS trusts, may qualify for Microsoft or NHS discounts, so it’s worth checking eligibility.

All plans comply with UK GDPR and NHS Data Security Toolkit requirements, with data hosted in UK or EU data centres. It’s also important to plan for scalability and include a 10–15% contingency for unexpected automation needs.

Practical Examples

Power Automate can transform processes across departments. For example, HR teams can automate onboarding workflows by integrating with HR, payroll, and IT systems, which often requires premium connectors.

NHS organisations can streamline quarterly reporting by automating data extraction and compilation, typically using the Per Flow or Process Plan. In customer service, Power Automate can trigger notifications, escalate cases, or update CRM records automatically, which is often covered by the Per User Plan.

How to Get Started

Microsoft offers free trials for most Power Automate features, making it easy to test before committing. Working with a Microsoft partner can help you assess your automation needs and optimise licensing.

Summary

Power Automate licensing is flexible, but choosing the right plan is essential for cost-effective automation.

Whether you’re a small team or a large NHS trust, understanding the options ensures you unlock the full potential of automation while staying compliant and within budget!

Hope you all enjoyed this post on the Power Automate licensing. Take Care, Speak Soon!