What is VoIP? A quick guide to modern business comms

Let’s cut through the jargon. At its heart, VoIP (Voice over Internet Protocol) is simply a modern way of making phone calls. It uses your internet connection instead of an old-fashioned telephone line.

Think of it like this: a traditional landline is a bit like sending a letter through Royal Mail. Your voice travels down a dedicated copper wire, a physical path from A to B.

VoIP, on the other hand, is more like sending an email. It’s faster, far more flexible, and opens the door to features that outdated phone lines simply can’t handle.

Key takeaways

• VoIP is simply a modern way to make phone calls using your internet connection instead of the old copper network.
• It gives your business far more flexibility, letting your team make and take calls from anywhere with an internet connection.
• Switching to VoIP prepares your organisation for the upcoming 2027 PSTN switch-off and opens the door to smarter features that support growth
• If you want a reliable, secure and cost-effective VoIP phone system tailored to your business, B4BC can help you get started. Get in touch today.

How does VoIP work?

So, how does VoIP actually work in practice? Instead of relying on the UK’s ageing copper network, VoIP technology cleverly converts your voice into tiny digital packets of data.

These packets then zip across your business’s internet connection. They are instantly reassembled on the other end, resulting in a crystal-clear conversation that feels just like a normal phone call.

It’s this simple but powerful shift from analogue to digital that makes VoIP so incredibly versatile. Because it’s not physically tied to a socket in your office wall, your business phone system can work absolutely anywhere you have an internet connection.

This one change is the key to unlocking huge efficiencies and getting your business ready for the future.

How Does This Affect My Business?

The most immediate impact is freedom. You’re no longer stuck with the limitations of old technology.

Because VoIP uses the internet, it can seamlessly connect with your other business software. It also offers advanced calling features that are either impossible or eye-wateringly expensive on traditional systems.

For instance, you can immediately start using:

• Remote Working: Your staff can make and receive calls on their business number from literally anywhere – using a desk phone at home, a laptop, or a simple mobile app.
• Easy Scalability: Adding a new employee is as simple as a few clicks in an online portal. No more waiting for an engineer to come out and install a new physical phone line.
• Advanced Features: Things like voicemail-to-email, call recording, and detailed call reports often come as standard, not as costly add-ons.

VoIP untethers your communications from your physical office. It transforms your phone system from a simple utility into a dynamic business tool that supports growth, flexibility, and a much better customer experience.

To get a better sense of the hardware involved, you can learn more about how an IP telephone system works and see how all the pieces fit together.

Traditional Phone Lines vs VoIP at a Glance

To make the difference really clear, let’s put the old and new systems side-by-side. It quickly becomes obvious why so many UK businesses are making the switch.

Feature	Traditional Phone Line (PSTN)	VoIP System
Technology	Analogue signal over copper wires	Digital data packets over the internet
Location	Tied to a physical address	Works anywhere with an internet connection
Scalability	Requires engineer visit to add new lines	Add or remove users instantly via an online portal
Features	Basic (caller ID, voicemail at extra cost)	Advanced (call recording, routing, analytics, etc.)
Remote Work	Not supported	Fully supported via mobile and desktop apps
Maintenance	Ageing network, requires specialised engineers	Managed in the cloud, updates are automatic
Future-Proofing	Being switched off by 2027	The new standard for all UK business communications

As you can see, the move to VoIP isn’t just a minor upgrade. It’s a fundamental shift that equips your business with the tools it needs to thrive in a more flexible, digital-first world.

Why UK Businesses Are Switching to VoIP

The move to VoIP isn’t just another tech upgrade. It’s a strategic shift that solves real-world problems for modern businesses.

From nimble start-ups to established firms, UK companies are realising that internet-based calling fixes many of the headaches that came with old-fashioned phone lines. The reasons for making the switch are compelling, practical, and have a direct impact on the bottom line.

This trend is driven by clear business advantages, starting with serious cost savings. By ditching expensive physical line rentals and benefiting from much lower call rates (especially for international calls), businesses can see a huge drop in their monthly phone bills.

In fact, research shows that businesses can slash communication costs by up to 75% by adopting VoIP. It just makes financial sense.

Incredible Flexibility for Modern Teams

One of the biggest wins with a VoIP system is its incredible flexibility. Need to add a phone line for a new hire? It’s done in minutes through a simple online dashboard—no need to book an engineer and wait weeks.

That kind of agility is perfect for businesses that are growing, handling seasonal spikes, or just want to adapt quickly without being bogged down by rigid contracts and physical hardware.

This flexibility is what makes modern remote and hybrid work possible. VoIP lets your team use their single business number from anywhere, on any device they like.

• Desk Phone: An employee can have a physical IP phone in their home office that works exactly like the one at headquarters.
• Desktop App: They can make and receive crystal-clear calls directly from their laptop using a simple headset.
• Mobile App: A slick app turns their personal smartphone into a powerful business phone, keeping their personal number completely private.

In short, VoIP liberates your business from the four walls of an office. It keeps your team connected and productive whether they’re at their desk, at home, or visiting a client on the other side of the country.

Gaining Advanced Features as Standard

With old phone systems, useful features like call recording or auto-attendants were often expensive add-ons that required complex installation.

VoIP flips that on its head, bundling powerful business tools right into the service as standard. For SMEs, this levels the playing field, giving them access to communication tech that was once reserved for large corporations with deep pockets.

These built-in features help you work smarter, not harder. For example, CRM integration can automatically pop up a customer’s record when they call, giving your team instant context for the conversation.

Voicemail-to-email sends audio and text versions of messages straight to your inbox, so you never miss an important detail. Exploring the wider benefits of migrating to a VoIP telephone system can reveal even more ways this technology helps boost efficiency.

The UK’s Big PSTN and ISDN Switch-Off

There’s another big reason why VoIP services are becoming popular. A huge change is coming to the UK’s phone network. It affects every single business that still relies on a traditional landline.

Openreach, the company managing the national infrastructure, has set a deadline. By 2027, the old copper wires powering the Public Switched Telephone Network (PSTN) and ISDN services will be switched off for good.

It’s the end of an era for a technology that’s been the backbone of business communications for decades.

Every organisation, big or small, will have to move its voice calls to an internet-based service like VoIP before time runs out. While that might sound like a headache, it’s really a golden opportunity to modernise your setup and get ahead.

The shift is already happening fast. In the first quarter of 2025 alone, UK fixed voice service revenues stood at around £1.09 billion — a drop of 13.3% year-on-year. This trend shows just how quickly businesses are ditching old lines for more flexible, internet-powered communications.

Why Is This Happening Now?

Let’s be honest, the old copper network is on its last legs. It’s becoming incredibly expensive to maintain and simply can’t handle the demands of a modern, digital-first economy.

By retiring it, Openreach can pour its resources into expanding the UK’s full-fibre broadband network. This provides the fast, reliable connection that services like VoIP need to thrive.

Thinking of this as a forced upgrade completely misses the point. It’s a chance to rethink how your business communicates, both with your team and your customers.

Our essential guide to the 2027 PSTN switch-off takes a deeper dive into creating a full migration plan for all your affected services.

What Are the Best VoIP Features?

VoIP comes packed with smart tools that help your team work faster, stay connected, and give customers a better experience.

Many of these features were once expensive add ons with old phone systems, but now they often come as standard.

Here are some of the most useful features UK businesses rely on every day.

1. Call Routing and Auto Attendants

A good VoIP system lets you direct calls exactly where they need to go without any fuss. An auto attendant can greet callers, offer simple menu options, and route them to the right person or team.

It cuts down on wasted time, keeps queues shorter, and gives customers a smooth, professional experience from the moment they call.

2. Call Recording

Call recording is a powerful tool for training, compliance, and quality control. It lets you capture conversations securely and play them back whenever you need to.

Many businesses use it to coach staff, resolve disputes, or keep an accurate record of what was agreed during a call.

With VoIP, recordings are stored safely in the cloud, so they’re easy to access and manage.

3. Mobile and Desktop Apps

One of the biggest advantages of VoIP is the freedom to make and take calls from almost any device. Mobile and desktop apps turn laptops, tablets, and smartphones into full business phones.

Your team can work from home, from the office or on the go without missing a call. It keeps everyone connected and ensures your business number stays professional and consistent.

4. CRM Integration

CRM integration connects your calls with the customer data you already rely on.

When someone rings, their details pop up automatically, giving your team instant context. It helps staff respond faster, personalise conversations, and keep accurate records without extra admin.

This simple link between your phone system and your CRM can make a huge difference to productivity and customer satisfaction.

5. Direct Inward Dial (DID)

Direct Inward Dial gives every team member their own direct phone number without needing separate physical lines. It means customers, suppliers, and colleagues can reach the right person straight away, without going through a main switchboard.

This makes communication faster, cuts down on call transfers, and gives your business a more professional, organised feel. It’s especially useful for growing teams or anyone who wants to streamline how people get in touch.

Ensuring Your VoIP System Is Reliable and Secure

One of the first questions we always get asked is: “Is VoIP reliable?” The short answer is yes, absolutely.

But it comes with a crucial condition: your VoIP system is only as good as the internet connection it runs on.

Think of your broadband as the motorway for your calls. If that motorway is congested and slow, your call quality will suffer. That’s why a solid, business-grade internet connection isn’t just a nice-to-have for a professional VoIP setup—it’s non-negotiable.

Phone calls happen in real-time. Any delay or data loss (what the tech world calls ‘jitter’ or ‘packet loss’) will result in choppy, unprofessional audio.

Building a Foundation of Reliability

For the best possible call quality and uptime, a dedicated fibre connection like Fibre to the Premises (FTTP) is the gold standard.

Unlike older broadband that still leans on copper wires for the last leg of the journey, FTTP brings a full-fibre link right into your office. This gives you consistently fast and stable speeds.

But what if your main internet line goes down? Modern business continuity is about planning for the worst. Any reputable VoIP provider will strongly recommend a backup, like an automatic failover to a 4G or 5G mobile data connection.

This simple step ensures you never miss a critical call, even during an outage.

This blend of reliability and resilience is driving massive growth. The UK VoIP market is set to expand by USD 5.3 billion between 2025 and 2029, fuelled by businesses demanding the kind of call quality and uptime older phone systems simply can’t deliver.

How Secure Are Your VoIP Calls?

Beyond reliability, security should be top of your list. When you’re discussing sensitive client details or internal company strategy, you need complete confidence that your conversations are private.

This is where encryption comes in. Leading VoIP providers use powerful encryption protocols to scramble your call data as it travels over the internet.

It’s like sending your conversation in a locked, digital safe that only the intended recipient can open. This makes it incredibly difficult for anyone to eavesdrop on your calls.

A professional VoIP system is designed with security at its core. It protects your conversations with strong encryption and ensures your provider adheres to strict UK data protection laws, including GDPR, giving you complete peace of mind.

This robust security also protects your system from hacking and potential fraud. Understanding the risks is the first step, which is why it’s useful to learn more about how to prevent phone system hacking and the measures a good provider puts in place.

Choosing a provider with a strong focus on security is every bit as important as choosing one with a reliable network.

How to Choose the Right VoIP Provider

Picking the right partner for your move to VoIP is a massive business decision. The technology itself is only half the story; the quality of your provider determines the reliability, support, and overall success of your new phone system.

To make the right choice, you need to ask the right questions and look well beyond the headline price.

Use this checklist to dig a little deeper before you commit to anything.

Evaluation Area	Key Questions to Ask
Support & Reliability	Do you offer UK-based support? What are your standard response times? What does your Service Level Agreement (SLA) guarantee for uptime?
Pricing & Contracts	Can you provide a full, itemised quote? What’s included and what costs extra (e.g., number porting, call recording)? What are your contract lengths and exit terms?
Features & Functionality	Can you demonstrate the features most important to us (e.g., call routing, mobile app, CRM integration)? How easy is it to add or remove users?
Onboarding & Setup	What does your onboarding process look like? Will you help with number porting and device setup? Do you offer any training for our team?
Security & Compliance	How do you protect against fraud and cyber threats? Are your services fully GDPR compliant? Do you follow Ofcom’s guidance for VoIP providers?
Disaster Recovery	What happens if our internet connection goes down? Do you offer automatic failover to mobile numbers or a backup connection?

These questions will help you cut through the marketing noise and find out which provider will actually work for your business, day in and day out. Choosing carefully now will save you a world of headaches later on.

Still Got Questions About VoIP?

Thinking about making the switch but still have a few things you’re not sure about? No problem. Here are a few quick answers to the questions we get asked the most by UK businesses.

Can I Keep My Current Business Phone Number?

Yes, absolutely. Keeping the number your customers already know is simple. It’s a process called number porting, and your new VoIP provider handles the whole thing for you, making sure there’s no disruption when you switch.

What Kit Will I Need for VoIP?

You’ve got a few options here, and none of them involve bulky, old-school hardware. Your team can use:

• IP Phones: These look and feel just like a regular desk phone, but they plug straight into your internet connection instead of a phone socket.
• Softphones: This is just a simple app that runs on your computer or laptop, letting you make and take calls using a headset.
• Mobile Apps: Turn any smartphone into a full-featured business phone with an app. It’s perfect for remote teams or people who are always on the move.

How Much Internet Bandwidth Does It Actually Use?

Probably less than you think. A single VoIP call typically only needs about 100 Kbps of your upload and download speed. That means even a standard business broadband line can comfortably handle several calls at once without any issues with quality.

How Much Does VoIP Cost?

VoIP is usually far more cost effective than old phone lines, but prices can vary depending on the provider and the features you need.

Most systems work on a simple per user monthly fee, with optional add ons for things like call recording or advanced reporting. You may also choose to buy IP phones, although many businesses prefer softphones or mobile apps to keep costs down.

The key thing is that VoIP removes line rental charges, which is where the biggest savings come from.

How Do I Switch to VoIP?

Moving to VoIP is usually a smooth and straightforward process. A good provider like B4BC handles most of the heavy lifting for you and make sure everything works from day one. Here’s what the typical switch looks like:

• Check your broadband connection
Your provider will confirm your internet is fast and stable enough to support clear, reliable calls.

• Choose your users and features
Decide who needs a phone profile, and pick any features that matter to your team, such as call recording or mobile apps.

• Set up your devices
Your provider will help you get IP phones, softphones or mobile apps ready to use. This can often be done remotely.

• Port your existing numbers
Your business numbers are transferred across to your new VoIP system. This is handled entirely by the provider and usually happens with no downtime.

• Go live and test everything
Once the port completes, your new VoIP system switches on. A quick test call to each user makes sure everything is working as expected.

Interested in switching to a VoIP phone system?

If you’re ready to leave old phone lines behind, B4BC can guide you every step of the way.

We’ve helped thousands of UK businesses make the move to VoIP with confidence, and our customers trust us for a simple reason: we look after them properly.

What sets us apart is the level of care we put into every setup. Our UK based support team answers the phone quickly, understands your system inside out, and resolves issues without the usual back and forth.

• UK based, friendly support you can reach by phone
• Hundreds of five star Google reviews from happy customers
• Tailored solutions built around how your business works
• Clear, honest advice from specialists who know their stuff
• Reliable systems designed to grow with your organisation
• Smooth onboarding with minimal disruption
• Long term technical support after installation

If you’re thinking about making the change, we’d love to chat. Get in touch with the team at B4BC and see how we can build a VoIP system that fits your business perfectly.