UK firms hit by 1500 percent invoicing software price hike

British businesses have voiced significant outrage after a popular software platform for timesheets and invoicing implemented price increases of up to 1500 percent. The sudden change in billing has led some users to describe the move as daylight robbery. Richard Haldenby, who leads the UK consultancy Salentis, stated that he was in shock upon receiving an email detailing the substantial rise in costs. His monthly bill for the service had increased from 130 US dollars to 2,110 US dollars. Other users in the United States have reported similar dramatic hikes, with one individual noting that their annual charge jumped from 2,800 US dollars to 23,000 US dollars. The BBC has contacted the software provider for a comment regarding these developments.

The pricing structure was altered following the acquisition of the company by the Italian technology group Bending Spoons in 2025. The new pricing model took effect the following year. Many businesses that pay on an annual basis are only now discovering the extent of the increases as their contracts come up for renewal. Haldenby, whose firm employs up to 15 staff in the UK with sister companies in the US and Australia, explained that the company has used the software for at least 15 years. He described the firm as loyal and enthusiastic advocates of the product. However, he noted that accepting the proposed increase would double their annual IT spend, a cost he deemed completely unaffordable.

Previously, businesses paid a flat monthly fee per user, allowing them to add or remove access as staffing needs changed. Under the new usage-based model, charges are calculated based on active projects, clients, tasks, and the total revenue invoiced through the platform. Haldenby contacted the company to refuse the price change. In response, he was offered a discount for the following year, reducing the cost to 1,309 US dollars, provided the amount was paid upfront. He rejected this offer, believing it would only delay the inevitable. He is now planning to migrate to a similar but less expensive service, characterising the situation as a classic example of corporate greed over valuing customers.

The move has attracted criticism from industry analysts. Mark Peacock, head of the UK consultancy PriceMaker, described the practice as extremely bad. He argued that the company has failed at transparency because customers cannot determine their costs until the end of the month. Peacock noted that many users are reporting a tenfold increase in costs, which he considered entirely unacceptable. Damian Foks, head of consulting at Valueships, suggested the price hike signals a strategic shift from growth to monetisation. He believes this change is likely a result of the acquisition by new owners. Bending Spoons has acquired more than 50 major tech firms since its founding in 2013, including Evernote, Vimeo, and WeTransfer. The company has a history of raising prices in acquired firms. Following its 2022 acquisition of Evernote, it implemented sharp subscription increases alongside layoffs in the US and Chile. Both WeTransfer and Vimeo have faced tighter limits on free tools since their acquisitions, with legacy users forced onto more expensive pricing tiers.