On this page
- 01Key takeaways
- 02Should website prices include VAT?
- 03What about unavoidable fees?
- 04When can you show ex-VAT prices?
- 05What if you sell to both consumers and businesses?
- 06What if you are not VAT registered?
- 07When does labelling not matter?
- 08What does this look like in practice?
- 09VAT price display checklist
- 10Next step
- 11Sources and further reading
- 12Frequently asked questions
Key takeaways
Prices shown to consumers must include VAT and any unavoidable fees. The Price Marking Order 2004 requires VAT-inclusive selling prices, and since April 2025 the DMCC Act 2024 treats leaving mandatory fees out of a headline price as misleading. Trade-only sites may show ex-VAT prices if they are clearly labelled.
- Consumer prices must include VAT and unavoidable fees.
- Drip pricing became an automatically unfair practice in April 2025.
- B2B sites may show ex-VAT prices, clearly labelled.
- Sites serving both should make the default obvious.
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Chat on WhatsApp →Should website prices include VAT?
Prices aimed at consumers must include VAT. The Price Marking Order 2004 requires the selling price shown to consumers to include VAT and other taxes. Global Bridge Labs (GBL) treats price labelling as part of item 10, prices or price guidance, in the 30-item inventory.
What about unavoidable fees?
Since April 2025, under the DMCC Act 2024, failing to include mandatory fees, such as booking or admin fees, in the headline price is treated as an unfair commercial practice. Show the total a consumer must pay, with optional extras clearly separate.
When can you show ex-VAT prices?
Businesses selling only to other businesses can show ex-VAT prices, as long as they are clearly labelled 'ex VAT' or '+VAT'. Make sure the label sits beside every price, not only in a footnote, so buyers never compare your ex-VAT price with a competitor's inc-VAT price by mistake.
What if you sell to both consumers and businesses?
If consumers can buy, show VAT-inclusive prices by default. You can offer a toggle or show both, such as '£120 inc VAT (£100 ex VAT)'. Trade portals behind a login can default to ex VAT. Whatever you choose, make it obvious which is which.
What if you are not VAT registered?
If you are not VAT registered, your prices simply have no VAT. Do not label them 'inc VAT', which implies you charge it. You can add 'no VAT to add' for business buyers, which can be a selling point against registered competitors.
When does labelling not matter?
Labelling matters less when you show no prices at all, but price guidance such as 'from £500' is still a price and must follow the same rules for consumers. If you quote ranges, quote them including VAT and fees.
What does this look like in practice?
A pattern we see in trades that serve homes and businesses: 'from £500' on the website, '+VAT' only in the quote. Homeowners feel misled when the quote arrives 20% higher. Showing 'from £600 inc VAT' sets honest expectations from the start.
VAT price display checklist
- Decide who your prices are aimed at.
- Include VAT for consumers.
- Include unavoidable fees.
- Label ex-VAT prices beside each figure.
- Make defaults obvious on mixed sites.
- Apply the same rules to price guides.
Next step
Check every price and 'from' figure on your site. If consumers can see it and it excludes VAT or a fee, fix it this week.
Message us on WhatsApp for a price display check, with no pitch.
Chat on WhatsApp →Sources and further reading
- Digital Markets, Competition and Consumers Act 2024 · legislation.gov.uk
- Unfair commercial practices guidance (CMA207) · Competition and Markets Authority
Frequently asked questions
Do prices on a website have to include VAT?
Prices shown to consumers must include VAT under the Price Marking Order 2004. Businesses selling only to other businesses can show ex-VAT prices if they are clearly labelled. Mixed sites should default to VAT-inclusive prices.
Is drip pricing illegal in the UK?
Since April 2025, failing to include mandatory fees in the headline price shown to consumers is treated as an unfair commercial practice under the DMCC Act 2024. Optional extras can still be shown separately.
Can I show 'from' prices without VAT?
Not to consumers. A 'from' price is still a price, so for consumers it should include VAT and unavoidable fees. Trade-only businesses can show 'from' prices ex VAT if they label them clearly.
Written by
Global Bridge Labs (GBL) is a UK–Sri Lanka partner for social media, websites and BPO. Everything here comes from client delivery, not theory.
