Brexit and Amazon: What Changes for UK and EU Sellers in 2021

The Brexit transition period ends on December 31. From January 1, 2021, the UK and the EU will be separate markets for goods, customs and VAT. For sellers on Amazon Europe, that changes how inventory moves, how taxes work and how you plan your stock.

Here is a plain summary of what changes and what to do before the new year.

What changes on Amazon

No more cross-border FBA between the UK and EU

Amazon has confirmed that from January 1, it will stop moving FBA stock between UK and EU warehouses. European Fulfillment Network orders between the UK and the EU will end, and Pan-European FBA will cover EU countries only.

In practice, if you want to sell with FBA on both Amazon.co.uk and the EU stores, you need separate inventory in each.

Customs between the UK and EU

Goods moving between the UK and the EU will need customs declarations. You need an EORI number for the UK and, if you import into the EU, an EU EORI number too.

New UK VAT rules

The UK is changing how VAT works for online sales. For many sales by overseas sellers, and for lower value consignments, online marketplaces like Amazon will collect and pay the VAT. You may still need a UK VAT registration for your stock and imports. Talk to a VAT specialist about your exact case.

What to do now

1. Decide where you will sell. UK only, EU only, or both. Each needs its own stock plan.
2. Split your inventory. If you sell in both, plan separate shipments to UK and EU warehouses.
3. Get your registrations in order. EORI numbers, VAT registrations and any customs broker you will need.
4. Update your listings. Make sure prices, delivery settings and stock levels are correct for each marketplace.
5. Expect delays. Border checks may slow shipments in the first weeks of January. Send stock early.

Product rules

For now, the UK is accepting the EU’s CE marking for most goods, while introducing its own UKCA mark. Check the deadlines for your product category, as these will change over time.

Advertising

Your UK and EU ad accounts already run separately, but stock changes can affect them. If a product goes out of stock in one market because of border delays, pause or lower ads there until stock is back.

Is the UK still worth it?

Yes, for many brands. The UK is one of Amazon’s biggest markets. But the extra work means it is now more like launching a separate market than adding a country to an existing one. Plan it that way.

The bottom line

From January 1, treat the UK and EU as two markets. Split your stock, sort out customs and VAT, and send inventory early. If you are coming from North America, our guide on expanding to Canada and Mexico covers an easier first step. If you want help with a European plan, see our full service account management.

FAQs

Will EFN still work between the UK and EU after Brexit?

No. From January 1, 2021, Amazon will stop cross-border fulfillment between UK and EU warehouses. You need separate stock for each.

Do I need a UK VAT number after Brexit?

Many sellers will, especially if they store stock in the UK. Amazon will collect VAT on some sales, but you should check your own situation with a VAT specialist.

What is an EORI number?

An EORI number is a customs identification number needed to move goods into or out of the UK and the EU.