Amazon’s main UK arm gets a £7.6M tax credit despite profits jumping 26.5% to £355M on infrastructure relief

by | Jun 9, 2026 | Latest E-commerce News & Updates

Amazon's main UK division, Amazon UK Services, received a £7.6M tax credit from HMRC last year even as its pre-tax profits rose 26.5% to £355M, after a £16.7M downward adjustment tied to a government program that rewards UK infrastructure investment. The credit follows Amazon's £5.2B spend on fulfillment centers, offices, equipment, and datacenters in 2025, and a Fair Tax Foundation analysis found that Amazon's five biggest UK arms paid just £39M in actual UK corporation tax, an effective rate the watchdog pegged at 7.1%. Amazon counters that it paid more than £1.3B in direct UK taxes and £6.5B in total tax contribution, ranking among the country's top five taxpayers, while critics note a large share of its UK income is still booked through Luxembourg.

Paul Drecksler is the founder and editor of Shopifreaks, covering the most important stories in e-commerce.

Companies: Amazon

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