Over the past 3 years, DialPhone has analysed 500 UK business phone bills as part of our free bill analysis service. We anonymised and aggregated the data. The findings are striking.
The Numbers
| Metric | Average | Median | Range |
|---|---|---|---|
| Monthly phone spend | £2,340 | £1,850 | £180 - £18,400 |
| Identified monthly waste | £847 | £620 | £0 - £6,200 |
| Waste as % of total spend | 36.2% | 33.5% | 0% - 72% |
| Number of employees | 42 | 28 | 3 - 450 |
The average UK business wastes £847 per month — £10,164 per year — on phone costs.
Where the Waste Comes From
| Category | % of Companies Affected | Avg Monthly Waste |
|---|---|---|
| Ghost lines (unused channels/extensions) | 62% | £340 |
| Overpriced maintenance contracts | 48% | £185 |
| Features charged separately (should be included) | 71% | £165 |
| Long distance charges (should be unlimited) | 43% | £95 |
| Duplicate services (backup nobody tested) | 18% | £62 |
Ghost Lines: The #1 Waste
62% of businesses have phone lines that carry zero calls. Common reasons:
- Employee left, extension never cancelled
- Office moved, old lines kept "just in case"
- PRI circuit sized for peak that happened 5 years ago
- Fax lines that nobody uses anymore
Average ghost line cost: £15-45 per line per month. Average ghost lines per company: 8-12.
Feature Unbundling: The Silent Drain
71% of businesses pay separately for features that modern VoIP includes for free:
| Feature | % Paying Extra | Avg Extra Cost |
|---|---|---|
| Call recording | 54% | £5.80/user/month |
| Voicemail | 38% | £3.20/user/month |
| Auto-attendant | 41% | £45/month |
| Conference calling | 35% | £65/month |
| Caller ID | 22% | £2.10/user/month |
| Mobile twinning | 28% | £4.50/user/month |
Company Size Breakdown
| Company Size | Avg Monthly Spend | Avg Monthly Waste | Waste % |
|---|---|---|---|
| 1-10 employees | £380 | £95 | 25% |
| 10-25 employees | £1,200 | £420 | 35% |
| 25-50 employees | £2,800 | £980 | 35% |
| 50-100 employees | £5,200 | £1,950 | 37.5% |
| 100-250 employees | £9,800 | £3,800 | 38.8% |
| 250+ employees | £16,400 | £6,200 | 37.8% |
Larger companies waste more in absolute terms, but the percentage is remarkably consistent: 25-39% across all sizes. Nobody is immune.
Industry Breakdown
| Industry | Avg Waste % | Common Issue |
|---|---|---|
| Legal | 41% | Recording charged per-user, unused conference bridges |
| Healthcare | 38% | Ghost ISDN lines, expensive maintenance |
| Financial services | 36% | Compliance features as add-ons |
| Manufacturing | 35% | Over-provisioned PRI circuits |
| Professional services | 33% | Long distance charges |
| Technology | 28% | Already on VoIP, less waste |
| Retail | 42% | Multiple locations with separate contracts |
Retail has the highest waste because each location has its own phone contract, and nobody consolidates them.
What Happens After the Audit
Of the 500 companies we analysed:
| Action Taken | % of Companies | Avg Monthly Savings |
|---|---|---|
| Switched to DialPhone | 34% | £1,240 |
| Renegotiated with current provider | 28% | £380 |
| Cancelled ghost lines only | 22% | £290 |
| No action taken | 16% | £0 |
The 16% who took no action are still wasting an average of £847 per month. That is £10,164 per year they choose to pay for nothing.
Get Your Own Analysis
DialPhone offers free bill analysis for any UK business. Email your last 3 phone invoices to us. Within 48 hours, you receive:
- Line-by-line waste identification
- Ghost line detection
- Feature comparison (what you pay extra for vs what is included)
- Specific monthly and annual savings projection
No obligation. No sales pressure. 84% of companies that run the analysis save money — whether they choose DialPhone or not.
