The UK chancellor, John Healey, is reported to be developing plans for his first budget that would require online marketplaces such as Amazon and eBay to collect VAT owed by retailers selling through their platforms. The proposal, covered by multiple outlets, is expected to be designed as a tax compliance “crackdown” on marketplace sales.
The reporting suggests the measure could raise up to around £1 billion for the Treasury, depending on the scope and implementation details. One outlet also says the additional revenue could be used to support reductions to business rates for high street retailers, while another notes the idea may extend to platforms including Temu.
The outlets agree on the core direction—shifting VAT collection responsibilities from individual sellers to the marketplaces that facilitate sales—but differ in emphasis, particularly around who would be covered and how the government intends to deploy any extra revenue. Details of timing, thresholds, and enforcement are not fully specified in the available reporting.
