John Pye buyer's premium calculator: what a winning bid really costs

Updated 28 July 2026 · 2 min read · RedGem

The number on John Pye's bid button is not the number that leaves your bank account. On a typical returns lot you'll pay the hammer price, plus a buyer's premium of around 25%, plus VAT at 20% on that premium, and some lots charge VAT on the hammer too. Delivery or collection comes on top.

Type your bid into the calculator below and it shows the full breakdown. If you only remember one thing from this page, make it this: budget roughly 1.5 times your bid and you will never be ambushed at checkout.

Buyer's premium calculator

Your winning bid (the hammer price)This lot also charges VAT on the hammer (some do; the lot page says)

Buyer's premium (25%): £10.00

VAT (20% on the premium): £2.00

All-in cost before delivery: £52.00 (1.30x your bid)

Typical John Pye returns-sale rates at time of writing. Rates vary by sale and by lot: the fee line on the lot page is always the final word. Delivery or collection is extra.

The maths, worked through

Say you win a vacuum cleaner at £40. The buyer's premium at 25% adds £10. VAT at 20% on that premium adds £2. You're at £52 before delivery, which is 1.3 times the hammer. Add typical delivery and you land close to 1.5 times, which is why experienced buyers treat 1.5x as the planning number.

On lots that also charge VAT on the hammer (the lot page tells you; it's common with brand new rather than returned stock), that £40 win becomes £60 before delivery. Same bid, £8 difference. This is exactly why the fee line on the lot page is worth ten seconds of your time before every bid.

What this means for your bidding

Work backwards from the resale price, never forwards from the bid. If the item sells for £80 on eBay and you want £30 profit, your all-in ceiling is £50, which means your maximum bid is about £33, not £50. Bidders who forget this maths are the ones paying £75 all-in for an £80 item and calling it a win.

One honest caveat: rates can differ between John Pye sales and lot types, and they can change. The calculator uses the typical returns-sale rates at the time of writing; the lot page's own fee line is always the final word.

Or skip the spreadsheet entirely

RedGem does this backwards maths automatically for every lot it tracks at John Pye and five other UK houses: real eBay sold prices in, premium and VAT deducted, one safe maximum bid out. There's a free unlocked deal on the homepage every day if you want to see it working. RedGem is an independent tool and is not affiliated with John Pye.

Quick answers

How much is John Pye's buyer's premium?

Typically around 25% of the hammer price on returns sales, plus VAT at 20% on the premium. Some lots also carry VAT on the hammer itself; the lot page states which applies.

Why is my John Pye invoice higher than my bid?

The invoice adds the buyer's premium and VAT to your winning bid, plus delivery if you chose it. A £40 win typically invoices at £52 to £60 before delivery depending on the lot's VAT treatment.

What is the 1.5x rule?

A planning rule of thumb: budget roughly one and a half times your winning bid as the true all-in cost including fees, VAT and getting the item to your door. It keeps your profit maths safe without a spreadsheet.