What the fee is
The regulatory operating fee is a country-specific charge Etsy adds to sales from sellers in certain countries. Etsy says it helps keep pricing aligned with meeting local requirements, and it is set by country and reviewed each year. It is charged as a percentage of the sale, on top of the listing, transaction and payment processing fees.
What changed on June 22, 2026
Etsy changed the rates in several countries, effective June 22, 2026:
- France: 0.47% to 1.14%
- Italy: 0.32% to 0.80%
- Spain: 0.72% to 0.88%
- United Kingdom: 0.32% to 0.48%
- Hungary: new fee of 1.97%
- India: down from 0.29% to 0.05%
- Türkiye: down from 2.27% to 1.67%
Canada (1.15%) was not part of this change. The US and Germany have no regulatory operating fee. Check your Etsy payment account for the rate that applies to your shop, because Etsy reviews these rates every year. Reporting on the announcement is available from Value Added Resource.
What it costs in practice
The fee looks tiny per order. In France, on a €40 order, it rose from about €0.19 to €0.46, roughly €0.27 more per order. Over 500 such orders a year that is about €134 extra. In the UK, a £40 order goes from about £0.13 to £0.19, around £0.06 more. Small per sale, but it comes straight out of margin.
VAT on top
UK and EU sellers are usually charged VAT on Etsy's fees, including this one, unless they can reclaim it as VAT-registered businesses. See the full Etsy fees guide for the rest of the fees.
How to protect your margin
- Include the regulatory fee in your pricing, not just the 6.5% transaction fee.
- Recheck your fee statement after any Etsy announcement, since rates change.
- Use the Etsy seller profit calculator, which applies the current rate for your country.
- Work out prices with the Etsy pricing formula.
Frequently asked questions
Can I avoid the regulatory operating fee?
No. It depends on the country of your shop, not on your choices, and Etsy applies it automatically.
Do US sellers pay it?
No. US shops do not pay a regulatory operating fee.
Last reviewed October 2026. Rates are for planning, so confirm in your Etsy payment account. See the disclaimer and methodology.