Why LCN customers end up above Microsoft's RRP
LCN resells Microsoft 365 the way many small UK web and hosting firms do. They are a Microsoft partner who buys licences through the channel, then prices them at roughly two to four times Microsoft's recommended retail price (RRP) to make the line worth carrying.
This is not a scam. It is the maths of a small reseller. Microsoft 365 is a thin-margin product, and a hosting company that sells it as an add-on alongside domains and websites has little volume and no incentive to price it keenly. The markup covers the overhead of carrying a product they were never built around.
The result for you is simple. You pay more per user per month than Microsoft itself charges, for licences that are identical to the ones Microsoft sells direct. The Microsoft 365 you receive from LCN is the same Microsoft 365 anyone else receives. Only the price on the invoice differs.