Cost Guide
Beauty & Cosmetics
United Kingdom 🇬🇧
Complete cost breakdown for selling beauty and cosmetics products on Amazon UK: FBA fees, UKCA marking, UK Responsible Person, SCPN notification, UK EPR obligations, VAT, and marketing costs.
Overview
Selling beauty and cosmetics products on Amazon.co.uk offers attractive margins of 40-65%, but since Brexit requires a standalone regulatory strategy that differs significantly from the EU. The United Kingdom has created its own cosmetics law with the UK Cosmetics Regulation (SI 2019/696), which largely mirrors the EU Cosmetics Regulation (EC) No 1223/2009 but has its own enforcement mechanisms. Key requirements include: appointing a UK Responsible Person based in Great Britain, notification via the Submit Cosmetic Product Notification (SCPN) portal (replacing the EU CPNP), and future UKCA marking (the transition period for CE acceptance has been extended to October 2027). Amazon.co.uk is the second-largest European marketplace after Amazon.de and offers strong growth potential, particularly in the premium beauty segment. This cost guide provides a detailed overview of all costs involved when starting and running a beauty business on Amazon UK.
Cost Breakdown
Amazon FBA Fees
All fees charged by Amazon for selling and fulfillment via FBA (Fulfillment by Amazon) on the UK marketplace. The referral fee for beauty products is 8-15%, depending on the product price. All amounts in GBP.
Referral Fee
Per unitFBA Fulfillment Fee
Per unitStorage Fees
MonthlyProfessional Seller Account
MonthlyLong-Term Storage Fee
MonthlyUK Cosmetics Regulation (Post-Brexit)
Since Brexit, the UK has its own cosmetics regulatory requirements. The UK Cosmetics Regulation (SI 2019/696) replaces the EU Cosmetics Regulation. Key elements are appointing a UK Responsible Person, SCPN notification with OPSS, and future UKCA marking. The MHRA (Medicines and Healthcare products Regulatory Agency) and OPSS (Office for Product Safety and Standards) oversee compliance.
UK Responsible Person (RP)
YearlySCPN Notification (Submit Cosmetic Product Notification)
One-timeCosmetic Product Safety Report (CPSR)
One-timeUKCA Marking (Transition Period)
One-timeProduct Information File (PIF) for UK
One-timeUK Packaging & Environmental Obligations (EPR)
The United Kingdom has its own EPR system (Extended Producer Responsibility) for packaging, which differs from the EU system. Obligations depend on annual packaging tonnage. From 2025, stricter requirements apply under the Packaging Waste Regulations. The Environment Agency (EA) is responsible in England, SEPA in Scotland, and NRW in Wales.
UK EPR Registration (Packaging)
YearlyPlastic Packaging Tax (PPT)
Per unitOPRL Recycling Labelling
One-timeUK VAT & Customs Duties
Since Brexit, importing goods from the EU into the United Kingdom is subject to customs formalities and potentially duties. UK VAT (Value Added Tax) is 20% for cosmetic products. A UK VAT registration is mandatory for FBA sellers holding inventory in the UK. HMRC (His Majesty's Revenue and Customs) administers VAT and customs duties.
UK VAT Registration
One-timeOngoing VAT Returns
MonthlyCustoms Declaration & Import (EU to UK)
Per unitEORI Number (UK)
One-timeMarketing & PPC Advertising
Advertising on Amazon.co.uk is essential in the competitive British beauty market. British consumers are very price-conscious but also brand-loyal. Sponsored Products form the foundation, complemented by Brand Registry and A+ Content. English-language listings must use British English spelling (colour not color, moisturiser not moisturizer).
Sponsored Products (CPC Advertising)
MonthlyA+ Content & Brand Store
One-timeProduct Photography & Listing Optimization
One-timeKeyword Research & SEO (British English)
One-timeTotal Cost Estimate
Startup costs (one-time)
3,000-12,000 GBP
Ongoing costs (monthly)
500-3,500 GBP
Margin Analysis
Typical margin
40-65%
Break-even
100-300 Einheiten/Monat
Beauty products offer good margins of 40-65% on Amazon.co.uk. The British cosmetics market is the largest in Europe after Germany and France, and UK consumers are willing to pay fair prices for quality products. Private-label cosmetics achieve 50-65%, while reselling branded products is closer to 40-50%. FBA fees combined are approx. 20-30% of selling price, PPC costs typically 10-18% of revenue during the ramp-up phase. VAT at 20% must be factored into pricing. Additionally, post-Brexit costs for customs declarations, UK Responsible Person, and SCPN notification increase startup costs compared to EU markets. Break-even is at 100-300 units per month, depending on selling price and margin. With an average selling price of 12-25 GBP and a net margin of 20-30% after all costs, profitable operations are realistic from approx. 150 units/month.
Cost Saving Tips
- 💡Appoint a UK Responsible Person with a physical address in Great Britain early on. Without a UK RP, you cannot sell cosmetic products on Amazon.co.uk. Amazon checks RP details on labels and can suspend listings without a valid UK RP. If you do not have your own UK presence, engage a specialised RP service provider. Ensure your UK RP holds the Product Information File (PIF) on-site and can respond promptly to OPSS authority enquiries.
- 💡Use Postponed VAT Accounting (PVA) for your imports from the EU. This means you do not have to pay import VAT at customs clearance but can declare it directly in your next VAT return as input tax. This significantly improves your cashflow. PVA has been available since January 2021 for all imports to Great Britain and is processed through your VAT return (Box 1 and Box 4).
- 💡Pay attention to differences between British and American English in your listings. British consumers prefer British spelling: 'moisturiser' not 'moisturizer', 'colour' not 'color', 'anti-ageing' not 'anti-aging', 'organise' not 'organize'. Use both variants in backend keywords to also capture searchers using US spellings. A native British copywriter ensures authentic product descriptions.
- 💡Observe the Advertising Standards Authority (ASA) rules for cosmetic claims in the United Kingdom. The ASA is stricter than many EU authorities and consistently penalises misleading advertising. Claims like 'clinically proven' require robust clinical evidence, 'dermatologist tested' must be documented, and terms like 'natural' or 'organic' must be substantiated. UK CAP Code rules apply to Amazon listings as well.
- 💡Plan logistics for the UK market carefully: since Brexit, customs formalities increase delivery times and costs. Use an experienced customs broker and consider sending inventory directly to UK FBA warehouses (Pan-European FBA no longer works for the UK). Alternatively, use a UK 3PL partner as an intermediate warehouse to restock FBA inventory more flexibly and minimise long-term storage fees.
Frequently Asked Questions
What is the difference between CPNP and SCPN after Brexit?
CPNP (Cosmetic Products Notification Portal) is the EU-wide notification system for cosmetic products, while SCPN (Submit Cosmetic Product Notification) is the British equivalent introduced after Brexit. If you want to sell cosmetic products in both the EU and Great Britain, you must notify your products in both systems separately. SCPN notification is done via the OPSS website (Office for Product Safety and Standards) and requires similar information to CPNP: product name, category, frame formulation or exact composition, responsible person, and contact details of the UK Responsible Person. Northern Ireland falls under the Windsor Framework and continues to accept CPNP notifications.
Do I need a separate seller account for Amazon.co.uk?
Since Brexit, Amazon.co.uk is no longer part of the unified European account structure. You either need a separate UK seller account or can use the Amazon Unified Account system where your EU account is linked to the UK marketplace. In both cases, you need a UK bank account (or payment service provider like Payoneer/WorldFirst), a UK VAT registration when using FBA, and must set up the account with a UK address or via your UK tax advisor. The monthly account fee of 25 GBP applies in addition to the 39 EUR for the EU account. Inventory management, listings, and advertising must be managed separately for the UK marketplace.
Are customs duties charged when sending cosmetic products from the EU to Great Britain?
Under the UK-EU Trade and Cooperation Agreement (TCA), cosmetic products of EU origin are generally duty-free (0% duty rate). However, rules of origin must be met: the product must be manufactured or sufficiently processed in the EU. Product-specific origin rules apply to cosmetics (usually change of tariff heading at 4-digit level). You need a statement on origin on the commercial invoice when goods exceed 6,000 EUR in value, or REX registration. Important: even at 0% duty, customs declarations must be filed, incurring customs broker costs. Import VAT of 20% always applies but can be reclaimed via Postponed VAT Accounting.
Does the UKCA marking apply to cosmetic products?
For pure cosmetic products (creams, serums, makeup, etc.), UKCA marking is not directly required, as cosmetics do not fall under the product safety directives that mandate UKCA marking. However, electric beauty devices (hair dryers, straighteners, electric toothbrushes, LED masks, etc.) must meet UKCA requirements as they fall under the Electrical Equipment (Safety) Regulations 2016 and EMC Regulations 2016. The transition period for accepting CE marking in Great Britain has been extended multiple times and currently applies until October 2027. Plan the transition early nonetheless, as a further extension is not guaranteed. Northern Ireland continues to follow CE requirements under the Windsor Framework.
How does the UK packaging EPR obligation work, and how does it differ from the EU system?
The UK EPR system for packaging differs significantly from the EU system (e.g., LUCID in Germany or Citeo in France). The UK system has tiered obligations based on turnover and packaging volume: small companies (under 50 tonnes packaging and under 2 million GBP turnover) only need to register, while larger companies must additionally purchase Packaging Waste Recovery Notes (PRNs) to meet their recycling obligations. Since 2024, foreign sellers placing packaging on the UK market must also participate in the EPR system. Registration is via the Environment Agency portal. Important: UK EPR registration does not replace LUCID registration or other EU EPR systems - separate registration is required for each market. Annual reports cover the quantity and type of packaging placed on the UK market.