Etsy fees UK: How much does Etsy charge sellers?

You price an item at £80 and make the sale, but you get a payout that's noticeably less than you expected. This is because Etsy takes several fees, layered on top of each other.

I broke down every fee Etsy charges UK sellers on a sale, from the listing fee to VAT, and ran them through four worked £80 scenarios. By the end, you'll know what each fee costs, when it applies, and how much you actually keep from a typical UK sale.

Etsy UK fees: At a glance

Note on currency: Etsy sets several fees in U.S. dollars and converts them to pounds at the market rate when the charge reaches your payment account. The pound figures in this guide use a rate of $1.33 to £1, correct as of 2026. Your actual charges will vary slightly as the rate moves.

A deep look at Etsy fees in the UK

Etsy fees in the UK are made up of separate charges such as the listing fee, transaction fee, and a payment processing fee. Here’s a look at each one:

Listing fee

Etsy sets the listing fee in U.S. dollars, not pounds: $0.20 each time you publish a listing, which lands at roughly £0.15 at current exchange rates. Etsy converts the fee at the market rate on the day it hits your payment account, so the exact pence figure moves with the pound. 

The listing remains active for 4 months unless you sell or deactivate it. After 4 months, Etsy renews the listing automatically and charges another $0.20 (~£0.15), unless you switch that listing to manual renewal in your Listings Manager. 

One fee most sellers miss: If you list multiple quantities of the same item, Etsy charges $0.20 (~£0.15) again every time one of those extra units sells. 

Transaction fee

Etsy charges a 6.5% transaction fee on the total order amount, including the item price, delivery, and gift wrapping, plus any charge you add for personalisation. As a UK seller, your listing price should include any tax you're responsible for, and the 6.5% applies to that full displayed price. 

Note: You’ll still pay the 6.5% fee on delivery charges, even when you list postage separately.

For example, if an item costs £20 and delivery is £3.50, Etsy calculates the 6.5% transaction fee on the full £23.50, resulting in a fee of about £1.53. Include delivery when calculating Etsy fees so you can set a price that protects your target margin.

Etsy Payments processing fee

UK sellers using Etsy Payments pay a processing fee of 4% plus £0.20 per transaction. Etsy calculates this fee on the final order amount. It’s separate from Etsy's 6.5% transaction fee, so both can apply to the same order.

For example, on a £13.50 payment, the processing fee is £0.74. Etsy takes 4%, or £0.54, plus the fixed £0.20. Include both fees when calculating your costs so you don't overestimate your profit.

Regulatory operating fee

Etsy charges UK sellers a 0.48% Regulatory Operating fee on the item price plus postage, gift wrapping, and applicable personalisation costs. Etsy raised this fee from 0.32% on 22 June 2026.

The fee helps cover increased costs of doing business resulting from regulations in affected countries. 

For example, on a £20 item with £3.50 postage, the 0.48% fee on £23.50 is about £0.11. Include this fee alongside transaction and payment-processing charges when estimating your total Etsy fees.

VAT on Etsy fees

Etsy requires you to add your taxpayer name and VAT ID to your shop once your gross Etsy sales meet or exceed the UK threshold of £90,000 within a calendar year. Etsy's calendar-year trigger isn't the same test HMRC uses. HMRC measures the £90,000 VAT registration threshold across any rolling 12-month period, checked at the end of each month, so you can hit one without hitting the other.

This Etsy requirement is based on your gross sales through the platform. Etsy may charge VAT on applicable seller fees if you haven't provided a valid VAT ID. If you're below the VAT threshold, Etsy accepts a UTR or National Insurance number in the additional taxpayer ID field instead.

Once you provide Etsy with a valid UK VAT ID, Etsy says it won't charge VAT on your seller fees. VAT-registered sellers must account for VAT themselves under the reverse-charge rules, because Etsy bills UK sellers through its Irish entity, Etsy Ireland UC. You record the same amount as both input and output VAT on your return, so the net cost is usually nil.

For example, £10 in applicable Etsy seller fees subject to the standard 20% UK VAT rate would attract £2 in VAT, bringing the charge to £12. With a valid VAT ID on your Etsy account, Etsy won't add that £2 VAT charge, although you may need to account for the VAT through your VAT return.

Currency conversion fee

When your listing currency differs from your payment account currency, Etsy charges a 2.5% currency-conversion fee. Etsy charges this because it needs to convert the sale funds. A UK seller with a GBP payment account who lists an item in USD, for example, pays the fee when Etsy converts those funds into pounds.

For instance, if Etsy converts the equivalent of £100 in sale funds into GBP, the 2.5% currency-conversion fee would be £2.50. The currency mismatch triggers the fee, so selling to an overseas buyer while listing in GBP costs you nothing extra. UK sellers can avoid this charge by listing in the same currency as their payment account. 

Offsite Ads fee

Etsy automatically enrols all sellers in Offsite Ads, which promote Etsy listings on search engines, social platforms and partner publisher sites, including Google, Instagram, Pinterest and Bing. 

However, sellers making less than the equivalent of $10,000 (~£7,500 at the time of writing) over the previous 365 days can opt out of Offsite Ads entirely. Once your shop reaches $10,000 in sales during any consecutive 365-day period, Offsite Ads become mandatory. Etsy checks your sales on the first day of each month. 

Here’s how the fee structure works:

• If you’re below the $10,000 threshold and opt into Offsite Ads, you’ll pay a 15% fee. 
• Sellers whose shops cross $10,000 are required to participate and pay a 12% fee for the lifetime of their shop, even if sales later fall back below the threshold.
• The good news: Etsy caps the Offsite Ads fee at $100 per attributed order.

The marketplace only charges you when a buyer clicks an eligible Offsite Ad for one of your items and purchases from your shop within 30 days. Etsy converts your sales into USD using the exchange rate applied when each sale was processed to determine whether you've reached the $10,000 Offsite Ads threshold. 

That calculation sits separately from the 2.5% currency-conversion fee, which Etsy only charges on funds it converts into your payment account.

For example, a £100 order attributed to an Offsite Ad a customer found on Google would incur a £15 fee at the 15% rate or £12 at the 12% rate. 

How much does Etsy take from an £80 sale?

Here are 4 examples showing how different variables affect Etsy’s UK fees on an £80 item with free delivery:

Etsy fees UK example 1: £80 sale with no Offsite Ads

On a standard £80 UK sale, Etsy takes approximately £10.96. This leaves you with £69.04 before your own costs, such as postage, packaging, and the cost of the item. Providing Etsy with a valid UK VAT ID would change the VAT treatment.

Example 2: £80 sale with Offsite Ads on a shop below $10,000

An attributed Offsite Ads sale on an account making under $10,000 annually increases Etsy's fees to about £25.36, leaving £54.64 before your own costs. If you make under $10,000, you can opt out.

Example 3: £80 sale with Offsite Ads on a shop above $10,000

At the 12% Offsite Ads rate, Etsy takes approximately £22.48 from an £80 attributed sale, leaving £57.52 before your other selling costs.

Example 4: Sale worth ~£80 with currency conversion (no Offsite Ads)

This example assumes you list your items in U.S. dollars but hold a GBP payment account, so Etsy converts the funds on their way to you. If you list in pounds, this fee never applies. For simplicity, the table calculates every fee in pounds; in practice Etsy works them out in your listing currency and converts.

On an £80 sale, the currency-conversion fee adds £2.00, and VAT applies to it like every other Etsy fee. Total Etsy charges come to around £13.36, leaving £66.64 before your other selling costs.

Sell more on Etsy with Nifty

Now that you know about Etsy fees in the UK, you can consider selling on more than just Etsy to expand your buyer base. That's where Nifty, a crosslisting and automation tool, comes in. You'll be able to list and manage your items from one place, reducing manual listing tasks.

Here's why Nifty's so helpful:

• Customised AI listing: Snap a pic and let Nifty's AI build a boss-level listing, with SEO-optimised titles and descriptions, and trending hashtags already filled out for you. You can even customise how AI writes your listings to follow your unique style.
• Crosslist now: With a couple of clicks, post your items across Whatnot, eBay, Depop, and Etsy. No copy-paste clutter and no multi-tab hopscotch. (More marketplaces coming soon!)
• Bulk crosslisting: Publish up to 25 listings at once with marketplace-specific pricing rules, shipping presets, and AI-enhanced titles and descriptions. Start in Nifty or import from eBay, then export everywhere in one action.
• Marketplace-specific Pricing Rules: Set your price once on a primary marketplace, and Nifty auto-calculates the rest with percentage or dollar adjustments so your take-home stays consistent when you crosslist.
• Automatic delisting? Handled: When you make a sale, Nifty's sales detection auto-delists that item from every marketplace. Say goodbye to double-selling disasters and "sorry, it's already gone" apology messages.
• Automation that runs without you: Nifty relists your eBay and Depop items on a cycle so they resurface in search, and sends automatic offers to buyers who like them. You can also schedule drafts to go live and set automatic discounts that run deeper over time.
• Analytics and profits are real: Track sales, fees, top performers, and slow movers in one clean dashboard, so you can see exactly how Etsy's fees compare to what you keep on other platforms, and move inventory towards whichever marketplace protects your margin best. You can also set and track seller goals directly from your home screen.

Nifty is available for sellers in the UK and Australia, and it pays for itself in just a few weeks. Start with a 7-day free trial and see how Nifty can help you stop letting one platform's fee structure decide your bottom line.

FAQs

1. Does Etsy charge a monthly fee in the UK?

No, Etsy doesn't charge a monthly fee in the UK for a standard shop. Etsy Plus is an optional $10/month (~£7.50) subscription that adds 15 listing credits, $5 in Etsy Ads credits, advanced shop customisation and restock requests. Listing fees of $0.20 (~£0.15), transaction fees of 6.5%, payment processing fees of 4% + £0.20, and other fees like Offsite Ads, VAT, and currency conversion may still apply, so “no monthly fee” doesn't mean free selling. New shops may also face a one-time set-up fee.

2. Does Etsy charge a setup fee in the UK?

Etsy charges some new UK shops a one-time, non-refundable set-up fee when they open. Etsy doesn't publish the amount, saying only that it varies by location, and sellers report figures in the $15 to $29 range. Whatever applies to you, Etsy displays the exact figure during onboarding before you confirm it, and the fee may be waived during promotional periods.

3. Is it worth selling on Etsy in the UK?

Yes, it’s generally worth selling on Etsy in the UK. However, your success depends on your profit margins. Transaction, processing, regulatory, and advertising fees can erode thin-margin products. Always calculate net profit per order first to avoid losing money on underpriced listings.