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If you received a message claiming to be from a courier company or the Royal Mail asking you to pay to release a parcel they were holding for you, you’d be forgiven for thinking it was a scam.
However, as the UK navigates its way through a post-Brexit world, shoppers are facing new charges for receiving parcels from retailers based in the EU, with payment often requested by delivery companies via text message or email. Here’s what you need to know…
More tax
You now have to pay VAT, typically at 20%, on all goods entering the UK that cost more than £39. If the retailer didn’t charge you the VAT at the time of purchase, you’ll have to pay it to the courier company that delivers your parcel. The charge will be based on the total value of the package (including postage and any additional customs charges that apply). For more details, visit GOV.UK.
Customs duty
If the goods you are buying are worth more than £135, you may have to pay customs duties of up to 25% directly to the company that delivers your order. Couriers may also ask for ‘administration fees’ to cover the cost of processing additional payments. “If there are VAT and customs duties payable, the postal operator will pass them on by incorporating them within a handling fee,’ explains Martin Woodford, partner at Ward Hadaway law firm. ‘The amount due will be brought to your attention by the postal operator and once you pay, you can receive your goods.”
If you refuse to pay the charges, the courier will typically hold the item for three weeks. After this, the package will be returned to the sender or destroyed, meaning there’s no guarantee you’ll get a refund.
How to make a payment
If your parcel is being delivered by Royal Mail, you can either pay the fees at a Post Office or via its website, and fees to other courier companies can be paid online. Always be scam-aware. If you receive a message from any delivery company asking for money, sign in to your account on its official website to check it’s legitimate, or contact the company directly. Never click on a link in a text message or email to make a payment or give your payment card details over the phone.
Oscar WongGetty Images
Do your research
To check where the company you’re ordering from is based, check the retailer’s address. Companies with web addresses ending ‘en_uk’ do not necessarily ship from the UK. Also look out for the currency the product is sold in.
Your rights
Under the Consumer Rights Act, you’ll still have 14 days to return an item, but be aware this may cost you.
For disputes, try getting in touch with the seller. “If you have a dispute with an EU trader, first make a formal complaint,” advises Martin Woodford. “If you are still unhappy, you could check if the seller belongs to a trade association or to an alternative dispute resolution scheme to try to sort things out without going to court. You could also contact The Consumer Centre UK.”
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