How Much Does Digital Learning for SMEs Cost in the UK?

Introduction: The Cost Puzzle for SMEs

A series of connected hexagons, each containing an icon, representing activities within a business. In the centre is the word budget with a finger pointing onto it.

Running a small or medium-sized enterprise can often feel like a balancing act.

With limited budgets and rising competition, investing in employee development might seem like a luxury rather than a necessity.

However, the importance of staying competitive and adapting to the ever-changing business landscape makes digital learning not just beneficial but essential.

When you think about e-learning for your organisation, what's the first question that pops into your mind? It's probably, "How much is this going to cost?" That’s a completely understandable concern, and the answer isn’t always straightforward.

The pricing for digital learning can be quite complex, with different rates and structures from providers making it hard to pin down a clear number. Many companies often make it challenging to get a simple price, especially for tailored solutions.

And then what factors should you weigh before investing in digital learning?

In this article, we will outline typical costs, influencing factors, and strategies for maximising your budget.

At Jessanol, we’ve taken our decades of experience and designed our services and products just for SMEs, so we truly understand the concerns surrounding affordability and value.

By the end of this guide, you'll gain a clearer picture of digital learning costs in the UK, along with valuable insights to help you choose the best options tailored to your business needs.


Before we talk numbers, one important reality

One of the biggest mistakes SMEs make isn’t overspending on digital learning, it’s spending without clarity.

If you’re not clear on the performance problem you’re trying to solve, it’s very easy to either:
– over-invest in features you don’t need, or
– under-invest and see no meaningful return.

This is why the decision matters just as much as the cost.


Factors That Determine Digital Learning Costs for SMEs

Digital learning solutions are available in various formats, each with its own price range. Here are the main factors affecting costs:

Platform Subscriptions and Licensing Fees

A blue rectangle with the words e-learning online education, containing six circular icons showing different activities. A finger pointing to one icon showing an open book.

The foundation of digital learning is its platform. Depending on how and who your users will be accessing it and whether you need tracking, there are different options for hosting digital learning.

The traditional option, a Learning Management System (LMS), usually operate on a subscription model, with prices differing based on features, user capacity, and scalability. You can expect costs from £50 to several hundred pounds per month for platforms suitable for small and medium enterprises (SMES).

There are other options, however. Low-cost options to consider are using AWS or existing intranet options, or collaboration tools like Slack. It really depends on your organisation.


Customisation and Content Development Costs

Each business has unique training needs. Customisation entails adapting off-the-shelf solutions or creating tailored content, which might involve developing video tutorials, interactive modules, or specific scenarios for certain industries.

Prices for these changes can start at £500 for minor adjustments and escalate to thousands for fully customised content.

Additionally, costs can fluctuate based on the complexity of the project and the software employed. For instance, here at Jessanol, we use tools and processes designed to support rapid course design and development. This means we can be competitive on our pricing, without compromising on delivering an effective learning solution.

Industry costs:

  • Level 1: £ 4, 000–£ 8, 000 per hour for courses with simple graphics and limited interactivity. (Source: eLearning Industry, 2023)

  • Level 2: £ 8, 000–£ 16, 000 per hour for more interactive content with quizzes and polished designs. (Source: CommLab India, 2023)

  • Level 3: £ 16, 000–£ 40, 000 + per hour for highly interactive courses with simulations, animations, and gamified elements. (Source: Designing Digitally, 2022)

Additionally, if your course requires updates, such as for regulatory or legal changes, ongoing maintenance and updates can add 10–30% to the initial development costs annually. (Source: The Learning Guild, 2021)


Maintenance and Support Expenses

Continuous technical assistance and updates are crucial for ensuring the smooth functioning of your platform. Some service providers incorporate these expenses within their subscription fees, whereas others bill them separately. You should allocate a minimum of £300 each year for basic support packages (Source: LearnDash, 2024).


Hidden Costs to Watch For

Always read the fine print. Extra charges can include:

  • Additional fees for more users or storage.

  • Costs for advanced analytics or integrations.

  • Penalties for exceeding usage limits.


Comparing Options: Off-the-Shelf vs Bespoke Solutions

Choosing between off-the-shelf platforms and bespoke solutions largely depends on your business goals and budget.

Benefits and Challenges of Ready-Made Platforms

Ready-made platforms are cost-effective and quick to deploy. They typically feature pre-built courses and tools, ideal for general skills training. However, they may lack the depth or relevance required for specialised industries.

  • Example Cost: Individual courses range from £20–£200+; subscription fees often range from £200–£600 per user annually. (Sources: Skillsoft, 2023; Udemy Business, 2023; LinkedIn Learning, 2023)

  • Delivery Options: Courses can be hosted on the provider's LMS or integrated into your own system. Licensing terms vary by provider.

  • Some platforms cannot host bespoke courses, so ensure if you may need that option, it is factored into the choice made.


When Bespoke Digital Learning Makes Sense

If your business requires highly specific training, such as compliance in niche industries, a bespoke solution is often the best fit. While upfront costs are higher, this approach ensures the training is directly aligned with your business objectives.

  • Example Cost: Custom development typically starts at £5,000 for simpler projects and can exceed £20,000 for complex solutions. (Sources: eLearning Industry, 2023; The Learning Guild, 2021)

  • Bespoke courses can be hosted on your system or the provider’s LMS.


The Average Costs of Digital Learning Solutions in the UK

Here’s a breakdown of typical costs you might encounter:

  • Entry-Level Platforms: £50 to £100 per month. Suitable for small teams.

  • Mid-Tier Platforms: £100 to £500 per month. Offers advanced features and scalability.

  • Bespoke Solutions: Starting at £5,000. Fully customised, with costs varying by complexity.

  • Off-the-Shelf Courses: £20–£200 per course or £200–£600 per user annually for subscription models. (Sources: OpenSesame, 2023; LinkedIn Learning, 2023)

  • Additional Costs: Content creation can add £500 to £10,000 or more, depending on scope.


Maximising Value for Your Budget

You don’t need to break the bank to implement effective digital learning. Here are strategies to get the most out of your investment:

Leveraging Government Funding and Grants

The UK government offers schemes like the Skills for Growth programme, which can offset training costs. Check with local authorities for SME-specific grants.

Cost-Effective Strategies for SMEs

  • Understand the reason for the performance issues- e-learning may not be the right solution.

  • Prioritise to gain the best return on investment

  • Focus on fit-for-purpose solutions that leverage technology and processes to decrease costs.

  • Start with a smaller pilot programme to test feasibility.

  • Use a mix of off-the-shelf content and limited customisation.

  • Explore free or low-cost platforms for general training needs.

Tips for Negotiating with Providers

Don’t hesitate to:

  • Ask for discounts based on user or course volume.

  • Seek extended trial periods to evaluate platforms.

  • Request bundled services for better value.


So how much should you spend?

The honest answer is: it depends on what needs to change.

Sometimes a low-cost platform is exactly right.
Sometimes a small amount of bespoke learning makes a measurable difference.
And sometimes e-learning isn’t the right solution at all.

Performance and Clarity is designed exactly for this moment.

It helps you:

  1. pinpoint where performance is breaking down

  2. understand whether learning is the right lever

  3. identify where investment will have the biggest impact

👉 Find out more about Performance & Clarity

Or, if you want a quick sense-check of where your current training is working (and where it isn’t), you can start with the Learning Impact Scorecard.

 

 

Previous
Previous

The ROI of Investing in Bespoke E-Learning for Your Business

Next
Next

From Chats to Skills: Why Slack Is Your Learning Secret Weapon