To have an item featured on the ebay.co.uk homepage, previously costing £19.95, will now cost £49.95 while the Featured Plus charge (that puts a seller’s item at the top of a page) has risen from £5 to £9.95. For a seller to have an item prominent in a ‘gallery’ of similar objects now costs £15.95 up from £9.95. Final value fees on items up to £29.99 remain static at 5.25% but fees on items in the core £30-£599.99 price range will rise from 2.75 to 3.25%. Smaller increases are in place for other charges.
New European Union regulations regarding the collection of VAT on digital services mean that eBay will begin collecting 17.5 per cent applies to all seller fees paid to eBay - including insertion fees, feature fees, final value fees and service subscription fees.
Business sellers who have VAT identification numbers, and satisfy other requirements of the business registration process, can register for a VAT exemption on fees if they submit a valid VAT ID number to eBay.
July price hikes for UK eBay sellers
In addition to the implementation of VAT on seller fees reported in last week’s issue, eBay will introduce a number of substantial price increases from July 1. Most likely to upset eBay users is the imposition of a 1% charge on items carrying reserves in excess of £100. Previously that fee was just a flat rate of £1.20.
