Amazon FBA Fees Explained: How to Calculate Your True Net Profit in 2026 (UK Edition)

If you are selling on Amazon UK in 2026, you already know that the "Estimated Profit" figure in Seller Central is often a work of fiction. As an ecommerce accountant, I see the same story weekly: sellers celebrating record revenue while their bank accounts remain stagnant.

The 2026 FBA landscape in the UK is defined by "Logistics Efficiency." Amazon no longer just charges you to ship; they charge you based on how efficiently you use their warehousing space. If your accounting doesn't account for these micro-adjustments, your margins aren't just thin—they’re invisible.

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The 2026 Fee Landscape: Beyond Referral and Shipping

To find your net profit margin, you must now navigate three distinct pillars of Amazon UK costs. Our team of accountants for Amazon sellers has broken these down below:

1. The Statutory "Rent" (Referral Fees & DST)

A common misconception is that the UK Digital Services Tax (DST) is a hidden extra fee. In reality, it is baked into your referral fee.

• Standard Rate: For most categories (Home, DIY, Toys), the referral fee is 15.3%. This figure represents the base 15% fee plus the passed-on DST surcharge.
• The 2026 Apparel Shift: If you sell clothing, you are likely benefiting from the reduced referral fees introduced to compete with fast-fashion platforms like TikTok Shop. Rates for items priced under £15 have dropped to 5%, and items between £15–£20 are now 10%.

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2. The Efficiency Penalties (Storage & Utilisation)

Unlike the US market, the UK market in 2026 focuses heavily on storage efficiency.

• Storage Utilisation Surcharge: This is the silent killer for established brands. If your storage utilisation ratio climbs too high, Amazon applies a surcharge. You can no longer treat FBA warehouses as long-term storage facilities.
• Aged Inventory Surcharge: Formerly known as "Long-term storage fees," this timeline has accelerated. Stock sitting for more than 180 days incurs aggressive surcharges.

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3. The Returns "Leak" (High-Return Rate Fees)

With UK consumer rights being some of the strongest globally, return rates remain a major drain on capital.

• Expansion of Processing Fees: As of 2025/26, Returns Processing Fees now apply to all products that exceed specific return rate thresholds for their category. If you sell electronics or home goods with a high defect rate, you are now paying extra for every returned unit.

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Why Your "Settlement" Isn't Your Revenue

The biggest accounting pitfall for UK sellers is "Net-of-VAT" confusion. Amazon UK payouts are net of fees, net of VAT (if using Amazon's VAT Calculation Service), and net of advertising. To stay compliant with HMRC’s Making Tax Digital, you must "Gross Up" your sales.

Example: If your bank payout is £7,000, but your gross sales were £12,000, you owe HMRC output VAT on the £12,000. Under-reporting this is the #1 trigger for HMRC investigations.

Many of our clients selling across platforms—including Etsy sellers and Shopify brands—struggle with this consolidation. Proper ecommerce bookkeeping is the only way to ensure your VAT returns are accurate.

The "True Landed Cost" Formula for 2026

Shipping to the UK has stabilised, but 2026 brings new challenges, specifically the Carbon Border Adjustment Mechanism (CBAM) for importers of certain goods.

The formula for True Landed Cost is:

Summary Table: Amazon UK Fee Quick-Reference 2026

About the Author: Sam Hoye

Sam Hoye is the founder of Social Commerce Accountants, the UK’s leading firm for the new generation of online entrepreneurs. Whether you are working with TikTok Affiliates or scaling subscription box brands, Sam blends traditional accounting rigour with a deep understanding of ecommerce algorithms.

Ready to see your real numbers? Contact our team today to discuss how we can help you build an exit-ready Amazon business.

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