Etsy will raise its fees in some European countries as of June 1st, 2023. However, this isn’t a general fee increase. This time, it’s an increase in a supplemental fee called the “Regulatory Operating Fee,” which Etsy charges in select markets to cover regulatory compliance costs.
The Regulatory Operating Fee was introduced after new regulations increased the cost of doing business in many countries. It helps ensure that Etsy can continue to offer its services to sellers in these areas. According to Etsy’s Handbook for Sellers, the fee applies to the item price and shipping costs and may also include expenses for gift wrapping and customization, if applicable. The fee varies by the seller’s location and was originally introduced in July 2021.
Fee increases will apply in the following three countries:
- In the United Kingdom, the fee will change from 0.25% to 0.32%,
- in France, it will change from 0.40% to 0.47%,
- and in Italy, it will change from 0.25% to 0.32%.
- The Regulatory Operating Fee in Spain will remain the same at 0.40%, and in Turkey, it will remain at 1.1%.
- VAT may be added if applicable.
While any fee increase is likely to be unwelcome news for sellers, it’s worth noting that the Regulatory Operating Fee is designed to cover regulatory compliance costs. By paying this fee, Etsy can ensure that it operates within the law in each country where it does business, which benefits sellers and buyers.