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Amazon’s main UK arm handed £7.6m tax credit as profits soar to £355m

Amazon’s main UK arm handed £7.6m tax credit as profits soar to £355m

Summary

Amazon’s main UK business unit saw its profits rise by over 25% last year to £355 million and received a £7.6 million tax credit from HM Revenue and Customs. Despite this, Amazon UK reported paying more than £1.3 billion in various UK taxes, including corporation tax and other business levies.

Key Facts

  • Amazon UK Services made a pre-tax profit of £355 million in 2025, up 26.5% from the previous year.
  • The company owed £9.1 million in current tax but received a £16.7 million adjustment credit, resulting in a net £7.6 million tax credit.
  • The tax adjustment was linked to government relief for large investments in UK infrastructure, including £5.2 billion spent on facilities and equipment.
  • Amazon UK employs about 66,000 people out of its 75,000 UK workforce.
  • Total UK revenues from all Amazon operations were about £32 billion in 2025.
  • Five main Amazon UK divisions accounted for about half of this revenue and saw combined pre-tax profits jump to £555 million.
  • The company's effective corporation tax rate for these main divisions was calculated at about 7.1%, much lower than usual rates.
  • Amazon stated it paid over £1.3 billion in UK taxes last year, covering corporation tax, national insurance, business rates, and digital services tax.
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