Amazon is the go-to shopping destination for millions of UK customers, but that dominance comes with responsibility. Thousands of small and medium-sized businesses rely on Amazon’s marketplace to reach customers, yet many believe they’ve been competing on an uneven playing field.
That’s why a £2.7 billion legal claim has been brought forward.
The Amazon UK seller claim alleges that Amazon engaged in practices that harmed independent sellers, stifled competition, and reduced customer choice.
What the claim alleges
According to the legal action, Amazon abused its dominant position in the UK e-commerce market by:
- Giving more prominence to Amazon’s own products in search results and the Buy Box, making it harder for independent sellers to compete.
- Favouring sellers using Fulfilment by Amazon (FBA) over those using independent logistics providers, even when their offers were competitive.
- Steering shoppers away from rival marketplaces by using algorithms and recommendations that directed customers towards Amazon’s own listings, reducing visibility for competitors and limiting consumer choice.
These alleged practices are said to have harmed thousands of UK-based businesses by restricting competition and reducing profits.
Why this claim matters
At its heart, this case is about holding a global tech giant to account and creating a marketplace where everyone, from start-ups to established retailers, can play on the same pitch. This means:
Protecting fair competition
A healthy marketplace should give every seller an equal shot at success based on the quality, value, and service they provide. If the rules are tilted to favour one player — especially the platform owner — smaller sellers can be pushed out, and customer choice shrinks.
Encouraging innovation
When sellers know they can compete fairly, they’re more likely to invest in new ideas, expand their product ranges, improve customer service, and adopt greener or more efficient business practices. Unfair barriers discourage this kind of progress, leaving customers with fewer and less exciting options.
Supporting the UK economy
Small and medium-sized sellers are a vital part of the UK’s retail sector. They provide local jobs, pay taxes, and often bring unique or specialist products to the market. Ensuring these businesses can thrive on platforms like Amazon keeps money circulating in local communities and strengthens the overall economy.
What should you do now?
If you sold on Amazon UK between June 2018 and June 2024 you could be entitled to compensation for unfair practices that may have cost your business money. Check your eligibility now and we’ll let you know what to do next.
