- The hammer price leaves out the buyer's fee, VAT on that fee, transport and any extra charges on the invoice.
- Storage, a second collection trip and prep can cost more than the fee if the car needs work you could not see.
- Write the full landed cost before you bid, then compare it with buying the same car direct from a local seller.
What does the hammer price leave out?
When the hammer falls, that number is not what leaves your bank. On a standard rate card, an £8,000 car carries a buyer's fee of £805.83 before VAT, or £967 with it. A typical regional delivery is about £250 on top. Before prep, that car has cost about £9,056 if you pay the VAT and cannot reclaim it, or about £9,056 less the VAT if you can.
Those three lines — fee, VAT, transport — are the ones dealers forget when they are bidding against a screen.
Which charges show up on the invoice?
Read the whole invoice, not the fee line.
- Buyer's fee. Set by the price band the car sold in. It steps up as the hammer price rises.
- VAT on the fee. Charged at 20% on the fee. VAT-registered dealers can usually reclaim it. The hammer price on a margin-scheme car normally has no VAT.
- Transport. From the site to your premises. Collection yourself still costs fuel, a driver and a day.
- Extra charges. Storage if you leave the car, admin lines, and any fee for a late collection. They differ by auction, so check that site's terms before you bid.
What costs appear after the car arrives?
The invoice is not the end of it. Auction cars are often sold as seen, with a short window to look and no proper test drive.
Budget for a proper inspection once it is in your workshop: advisories you could not confirm, tyres, brakes, and a service before it goes on the forecourt. A cheap hammer price with a long advisory list is often the expensive car.
If the description missed something serious, your remedy depends on that auction's conditions of sale. Do not assume you can reject the car the way a retail customer can reject one from you.
How do you bid with the real number?
Decide the most you want the car to have cost you on the forecourt. Take off the fee for that price band, VAT if it is a real cost to you, transport, and a prep figure you would be happy to spend. What is left is your maximum bid.
The auction cost calculator follows the published standard fee bands, so you can try your own prices before the sale. The BCA buyer fees guide has the 2026 standard bands in one table.
When is the auction the wrong place?
Auctions are useful when you need choice, speed, or a car you cannot find locally. They are the wrong place when the fee, the delivery and the unknown prep eat the margin you needed.
Every car you buy from a local seller skips the buyer's fee and the transport from a hall. You can drive it, hear it cold, and agree the work before you pay.
Common questions
What is left out of the hammer price?
The buyer's fee, VAT on the fee, transport from the hall, and any extra charges the auction adds to the invoice. Prep and any missed faults come after that.
Does every buyer pay the same fee?
No. Published standard rates are a starting point. Regular buyers can be on a different rate card, so check the one on your own account.
How do I compare an auction car with a private purchase?
Add the fee, VAT if you cannot reclaim it, transport and a realistic prep figure. That total is what you compare with the price of a local car.
See what the fees come to on the auction cost calculator, or try the live demo.
