Update, 19 October 2026: two corrections.
First, the use right has two conditions, not one. Internal Power Pages websites included with Dynamics 365 enterprise licenses must map to the licensed Dynamics 365 application context and run in the same environment as that application. A leave request doesn't automatically fit the context of a Sales or Customer Service license.
Second, the same two conditions apply to Power Apps: Dynamics 365 licenses also include Power Apps use rights within the context of and in the same environment as the licensed application. So the licensing advantage over a Canvas App is not a general one. What decides the cost is the context, not the tool.
Sources: Power Platform licensing FAQs, Power Pages, Power Apps licensing FAQs, apps used outside a licensed Dynamics 365 application.
An internal leave-request app is a classic Canvas App reflex: someone needs a simple form and an approval step, so a Canvas App gets built, and a Power Apps license gets budgeted per user.
If your employees already carry Dynamics 365 enterprise licenses, that budget line may not need to exist. Microsoft's licensing FAQ grants them unlimited Power Pages websites, under two conditions: the site must map to the licensed Dynamics 365 application context, and it must run in the same environment as that application. Whether a leave request fits the context of your Dynamics 365 license is a question for the Licensing Guide, not an automatic yes. And Power Apps follows the same two rules, so if the tool fits the context, a Canvas App may be covered too.
Power Pages isn't a downgrade for this kind of task. Forms, lists, role-based views, and approval workflows cover most internal self-service scenarios, and there's no app to deploy to every device, a browser is enough.
None of this is an argument against Canvas Apps everywhere, it's an argument against reaching for one by reflex when the license for something else is already sitting unused.
Where to go deeper: For the full Power Pages vs. Canvas App cost comparison and what else is included out-of-the-box, see Power Pages License Value: What's Included Out-of-the-Box?
I map exactly this kind of licensing fit in an Architecture Workshop, before a single internal tool gets built twice.
