US and EU Brands Expanding Into the UK: How to Set Up UK Fulfilment From Day One

To sell into the UK from the US or the EU, you need a GB EORI number, the right commodity codes and a customs agent, plus a clear answer on UK VAT. If you hold stock in a UK warehouse, you must register for UK VAT from the first sale. Product labelling, returns and your choice of warehouse come next.

Great Britain is its own customs territory with its own VAT rules, and brands that treat it as an extension of home usually find the gaps through held parcels, surprise charges and slow refunds. This guide covers what to settle before your first shipment. It is general guidance, not tax or legal advice: confirm your position with a customs broker and a UK tax adviser before you commit stock.

The UK Is Its Own Customs Territory

Goods arriving in Great Britain from the US, the EU or anywhere else are imports, so each shipment needs a customs declaration. Under the GOV.UK guidance on importing goods into the UK, you need an EORI number starting with GB to import into England, Wales or Scotland. Northern Ireland has separate rules and may need an XI number.

Three decisions shape what you pay at the border:

• Commodity codes: each product's code goes on the import declaration. It sets the duty rate and shows whether you need an import licence.
• Customs value: the value you declare is the basis for working out duty and import VAT.
• Origin: you may pay less or no duty if the UK has a trade agreement with the country the goods come from. Origin means where the goods were made under the rules of origin, not where you ship from. An EU brand selling products made in Asia should not assume EU trade terms apply.

Most importers use a customs agent or their carrier to make declarations. A business with no UK establishment must appoint someone to handle customs on its behalf, so line up a broker early. If you plan to bring stock in bulk and sell it over months, a bonded warehouse service lets you hold imported goods with duty and import VAT deferred until each unit is released for sale.

How UK VAT Works for Overseas Sellers

UK VAT depends on where your goods are when you sell them. Ship each order from abroad and the rules turn on the £135 consignment threshold. Hold stock in the UK and you must register for UK VAT, whatever your sales value.

Orders shipped from abroad, £135 or less: HMRC's guidance on VAT and overseas goods sold directly to customers in the UK says the seller must charge and account for UK VAT at the point of sale, which in practice means registering. Business-to-business sales where the customer gives a UK VAT number work differently. Sales through online marketplaces follow separate HMRC rules, so check those if Amazon or another marketplace is your main channel.

Orders shipped from abroad, over £135: normal import rules apply. Import VAT and any duty are due when each parcel enters Great Britain. Unless you arrange to pay these charges yourself, your customer may be asked to pay before delivery.

Stock held in the UK: an overseas seller who owns goods of any value located in the UK at the point of sale must register and account for VAT on sales to UK customers. HMRC treats a business with no UK establishment as a non-established taxable person. There is no registration threshold, and you must register within 30 days of your first taxable supply in the UK.

Registration has an upside. Once you are VAT registered you can use postponed VAT accounting, which lets you declare and recover import VAT on the same VAT Return instead of paying it at the border and reclaiming it later. On bulk stock shipments, that keeps a large sum out of your cash flow.

Customs Duty on Low-Value Parcels Is Changing

Goods valued at £135 or less currently get relief from customs duty, which is one reason shipping single orders from abroad has looked cheap. That relief is going. The government confirmed in June 2026 that goods valued at £135 or less will become subject to customs duty, and its consultation response on low value imports sets the start date as October 2028 at the latest, to be fixed by regulations.

The reform also introduces a UK fiscal representative, a UK business that takes joint and several liability for an overseas seller's customs debts on low-value declarations. Fees and the detailed mechanics are not final yet. If your launch plan relies on shipping individual parcels from the US or the EU, build in the cost of duty on every order from 2028, or plan to move stock into the UK before then.

Ship From Abroad or Hold Stock in the UK?

Shipping from abroad suits a test phase; a UK warehouse suits steady demand. Most brands start with the first and move once orders settle.

Shipping each order from abroad: no UK stock commitment and quick to start. The trade-offs are longer delivery times, international postage on every parcel, a customs declaration for every consignment and returns that have to travel back across a border.

Holding stock in a UK warehouse: one customs entry per bulk shipment instead of one per parcel, domestic delivery speeds, local returns and stock ready for Amazon, retail or your webstore. The trade-offs are UK VAT registration from day one, a stock commitment and the need to forecast UK demand.

Holding stock in a UK bonded warehouse: the same local service, with duty and import VAT paid only on the units you release into the UK. Stock you send on to another country leaves without UK duty or VAT. This suits seasonal lines, slow movers and brands serving both UK and EU customers from one site. We explain the mechanics in more detail in how bonded warehousing defers duty and VAT.

Compare the options on landed cost, not on postage alone. Use real carrier quotes, the duty rates for your commodity codes, broker fees, the cost of VAT registration and a realistic return rate. Delivery speed matters too: UK shoppers judge a brand on fast, accurate, tracked delivery, and our guide to what UK shoppers now treat as standard sets out the baseline you will be measured against.

Check Product Compliance and UK Labelling

Check product rules before stock ships. For EU brands, the good news is that Great Britain continues to recognise the CE marking alongside or instead of the UKCA marking for many product types, under the Product Safety and Metrology (Amendment) Regulations 2024. Medical devices, construction products and some other sectors have their own rules.

Two points catch overseas brands out:

• UK importer details: for products covered by UK product safety rules, the importer must be established in the UK and must show its name and postal address on the product, or on the packaging or an accompanying document where the product is too small. Goods coming from the EU before 31 December 2027 can carry these details on the packaging or paperwork. Decide early who acts as your UK importer.
• Sector rules and licences: medicines, certain foods, plants, chemicals and other controlled goods may need licences or certificates to import. Cosmetics, supplements, electricals and toys each have UK-specific requirements.

Plan UK Returns Before You Launch

UK consumer law sets the minimum, and it does not wait for a parcel to cross the Atlantic. Online shoppers can cancel within 14 days of receiving their goods, and you must refund within 14 days of getting the item back, or of the customer showing proof they sent it, whichever comes first.

If returns travel back to the US or mainland Europe, that refund clock can run out before the parcel arrives. A UK returns address solves this, as long as someone processes returns quickly at the other end. Decide before launch what happens to each returned item: back into UK stock, reworked, sent to an outlet channel or written off.

Check Your UK Warehouse Is Approved by HMRC

Any UK business that stores imported goods for a seller established outside the UK, where those goods have not yet been sold in the UK, must be approved under HMRC's Fulfilment House Due Diligence Scheme. Trading without approval is a criminal offence for the warehouse. Before you sign with a UK fulfilment provider, ask for its approval reference and check it against HMRC's list of registered businesses.

How Fulfil with Synergy Supports Overseas Brands Entering the UK

Fulfil with Synergy is a founder-led UK third-party logistics (3PL) provider that runs multi-channel, retail and Amazon Seller Fulfilled Prime fulfilment for growing and household brands from purpose-built facilities in Northampton. Its team of over 280 fulfilment specialists works seven days a week, using AutoStore automation and the RedPrairie Dispatcher warehouse management system alongside high-touch services such as kitting, bonded warehousing and returns management.

For a brand landing in the UK, four things matter most:

• Bonded storage: Fulfil with Synergy is an HMRC-approved bonded operator. Imported stock is held with duty and VAT deferred until release, re-exported stock carries no UK duty or VAT, and bonded stock sits in the same warehouse system and client portal as duty-paid stock.
• One operation for every channel: webstore, marketplace, retail and cross-border orders are handled by one team in one operation, with unit, case and pallet picking for B2B and retail accounts.
• Returns inside the legal window: every return is scanned, inspected, reason-coded, photographed and processed within 48 hours, with integration to SWAP or your chosen returns platform, so refunds can go out well within the 14-day limit.
• Specialist support beyond the warehouse: the Fulfil Plus partner network includes global trading and compliance specialists covering VAT, EPR, customs and UK, EU and IOSS set-ups.

Fulfil with Synergy helped RevitaLash Cosmetics launch in the UK, coordinating the implementation and adapting processes as the brand's needs developed. Luis R. Candido, Sr, Director of Global Operations at RevitaLash Cosmetics, describes Fulfil with Synergy as "a strategic value-added partner". Dedicated account managers support each brand from onboarding through to day-to-day running.

A UK Launch Checklist for US and EU Brands

1. Apply for a GB EORI number.
2. Confirm commodity codes, duty rates and whether your goods qualify for preferential origin.
3. Appoint a customs agent or broker.
4. Take advice on UK VAT registration and postponed VAT accounting.
5. Decide who acts as UK importer, and check marking and labelling for your categories.
6. Model landed cost for shipping from abroad, UK stock and bonded stock, including duty on low-value parcels from 2028.
7. Shortlist UK warehouses and check each one's HMRC approval.
8. Set up a UK returns address and a returns process that meets the 14-day refund rule.
9. Connect your sales channels and test order flow before stock moves.
10. Send a first consignment sized to real demand, then review sell-through, delivery performance and returns after the first month.

FAQ

Do I need a UK company to sell in the UK?

No. An overseas business can sell into the UK without setting up a UK company. HMRC registers businesses with no UK establishment for VAT as non-established taxable persons, and a customs agent can act for you at the border. What you cannot skip is the paperwork: a GB EORI number, UK VAT registration if you hold stock in the UK, and a UK importer for products that must carry importer details. Some brands still choose a UK entity for banking, retail contracts or marketplace accounts. That decision depends on your tax position, so take advice from a UK accountant before you choose.

Do I still need an EORI number if my broker or 3PL handles customs?

Yes. A customs agent can make declarations for you, but if you are the importer the goods enter in your name, so you need your own EORI number starting with GB for imports into England, Wales or Scotland. Your agent uses it on each declaration, and if you use postponed VAT accounting your VAT number and EORI number link the import VAT to your account. Apply before your first shipment, because goods can be held at the border while details are missing. Keep the number to hand for your carrier, broker and warehouse, as each will ask for it during set-up.

Can I store stock in a UK bonded warehouse and still sell to EU customers?

Yes. Stock held in a UK bonded warehouse can be split and sent to more than one market. Units released for UK sale pay UK duty and import VAT at that point, while units re-exported to the EU leave without UK duty or VAT. EU import rules then apply when those goods arrive in the EU, so your EU customers or your EU set-up still need to account for EU duty and VAT. This model suits brands that want one stock pool in Northampton for UK and EU orders, particularly for seasonal or slow-moving lines. A broker can confirm the duty position for your products.

How long does it take to set up UK fulfilment?

It depends on your complexity more than on a fixed calendar. The main stages are discovery, system integration and testing, receiving stock, pick and pack set-up, and go-live, with returns and replenishment agreed before launch. Your own paperwork runs alongside: EORI, VAT registration and a customs agent all need to be in place before stock lands. Brands with a small catalogue and one sales channel move faster than those with hundreds of SKUs, retail accounts and Amazon. Ask any provider to walk you through each stage and what it needs from you, rather than quoting a single headline timeframe.

What should an overseas brand look for in a UK fulfilment partner?

Look for a partner that can take customs and VAT complexity off your desk as well as pack orders. That means bonded storage if you import in bulk, a single stock pool across your webstore, Amazon and retail, fast UK returns processing, and HMRC approval under the Fulfilment House Due Diligence Scheme. Check carrier options for UK delivery, real-time stock visibility and how onboarding works. Ask for references from brands that launched in the UK from overseas. Fulfil with Synergy is best suited to growing brands that want bonded warehousing, multi-channel fulfilment and high-touch services from one UK site.

If you are preparing to sell into the UK, get in touch with Fulfil with Synergy to talk through stock, customs and returns before your first shipment.

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