How much do fulfilment centres charge in the UK?

Fulfilment centres in the UK normally charge anywhere from around £0.40 to £3+ per order for pick and pack, with total costs usually landing between £4.50 and £6.50 per order once storage, shipping and other fees are included.

But that’s only a rough guide. In reality, fulfilment pricing is far more nuanced than a set rate, and most businesses will end up with a completely bespoke cost depending on how they operate and what they need from their fulfilment partner.

At SFI, we have over 30 years of experience managing fulfilment for some of the UK’s biggest companies. If you’re looking to find out how much fulfilment could cost for your business, get in touch with the team today.

Below, we break it down in a way that actually makes sense.

 

Why the cost of fulfilment is never one-size-fits-all

 

The cost of fulfilment is never a one-size fits all because every business has different requirements.

In fact, if you’ve ever tried to compare fulfilment providers, you’ve probably noticed that very few will give you a straight answer on pricing without delving further into what your business needs.

That’s not because they’re hiding anything. It’s because two businesses can have completely different fulfilment needs, even if they look similar on the surface.

For example, a brand shipping small, lightweight items every day will have very different costs to one sending big, fragile items a few times a week.

Additionally, a business with fast-moving stock will pay less for storage than one holding inventory for months. And for companies sending out orders at scale, the cost per order might be significantly lower, just because they can negotiate special rates.  

At SFI, this is exactly why we treat fulfilment as a project rather than a product. Pricing is built around how your business actually operates, not a generic package.

To get a bespoke quote, get in touch with the team today.

 

What are the main costs in fulfilment?

 

To understand what you’ll pay, it helps to break fulfilment down into its main steps. The more of these you need in your process, the higher the price is likely to be.

 

Pick and pack fees

This is the cost of physically handling your order. That means picking it from wherever it’s stored and packing it for delivery.

In the UK, pick and pack fees normally sit between:

• £0.40 to £3.00+ per order, depending on the level of packaging needed
• Around £0.45 to £0.80 per item for simple, smaller orders

The final cost normally depends on how complicated your orders are. A single-item order in a standard box is quick to process and send out. A complicated multi-item order with inserts, branding or extra packaging takes longer, and costs more.

This is where working with the right fulfilment partner really matters. A well run fulfilment process means it’s easier to pick and pack orders quickly, whilst minimising any errors in the process.

After all, if products arrive on time and well packaged, your customers are more likely to be happy.

 

Storage and warehousing costs

Storage is usually charged monthly and can be calculated in a few different ways:

• Around £30 per pallet per month
• Or roughly £0.50-£0.60 per cubic foot for smaller items

If your stock turns over quickly, the cost of storage is likely to stay low. If products sit in the warehouse for long periods of time, costs are more likely to increase.

Top tip: Working with a storage and warehousing company like SFI that also handles fulfilment can help you optimise costs so you aren’t paying separately for each.

 

Goods-in (receiving stock)

Before anything can be shipped, it needs to arrive at the storage space and be checked, booked in and stored in a well organised way.

Typical UK costs include:

• Around £30 per hour for unloading and processing
• Or per-unit fees starting from around £0.20-£2 depending on how goods arrive

If your products come in neatly packed and labelled, this cost stays low. If they need sorting, relabelling or repackaging, it increases.

When looking for a fulfilment partner, it’s always worth asking how they organise stock. You’ll want a company with well-run systems that mean every item is tracked in real-time, so you always have oversight of your products.

 

Packaging materials

Packaging is one of those things that businesses often overlook, but it adds up over time.

Typical costs are around:

• £0.10 to £0.50 per order

However, the cost also depends on whether you’re using standard packaging or branded materials. It will also depend on how fragile the items are and how much protection they need during transit.

SFI works with businesses that want both options, from simple cost-efficient packaging to more premium, branded experiences.

 

Shipping and courier costs

Shipping is normally the biggest and most variable cost.

In the UK:

• Economy delivery can start from around £2-£3
• Next-day or tracked services increase from there
• Heavier or oversized parcels cost a lot more
• International shipping comes with extra export costs  

Rates can also fluctuate based on fuel costs, peak seasons and delivery zones.

One of the biggest advantages of working with a fulfilment partner like SFI is access to better courier rates and smarter carrier selection. The right partner will work hard to make delivery routes as efficient as possible, so you’re never overpaying for shipping.

Note: Some businesses also want to offer installation as part of their services, especially those selling items like furniture. If your business does, it’s worth working with a company that also offers white glove delivery to ensure it arrives to the customer ready to use.

 

What does a typical fulfilment cost per order look like?

 

When you combine everything, most UK businesses will see:

• Around £4.50 to £6.50 per order as a general benchmark
• Lower for easy, high-volume stock
• Higher for complicated, low-volume or premium fulfilment

Some providers advertise all-in rates (for example, £3.95 per order including shipping), but these usually only apply to very specific product types and volumes.

The reality is that your cost per order is a moving number, not a fixed one.

If you want a bespoke quote for your fulfilment, get in touch with SFI today.

 

How volume changes your pricing

 

One of the biggest factors in the cost of fulfilment per product is scale.

As order volume increases, businesses are usually able to benefit from more efficient systems. This means:

• Pick and pack costs usually decrease
• Shipping rates improve
• Storage may increase depending on stock levels

For example, businesses sending over 3,000 orders per month will often unlock significantly better fulfilment rates than smaller operations.

This is where outsourcing to a partner like SFI becomes particularly valuable. Instead of building your own warehouse and fulfilment team, you benefit from economies of scale straight away.

 

Are there any hidden costs to watch out for?

 

Yes, and this is where many businesses get caught out.

Common additional costs include:

• Returns processing, also known as reverse logistics
• Account management fees
• Technology or platform fees
• Peak season surcharges
• Long-term storage penalties

Not every provider charges these, but it’s important to ask upfront.

At SFI, the focus is on transparency and building a model that works for your business long-term, not surprising you later with unexpected charges.

 

Why outsourcing fulfilment often works out cheaper

 

On paper, handling fulfilment in-house can seem cheaper. In reality, it rarely is once you factor everything in.

Running your own operation means paying for:

• Warehouse space
• Staff and training
• Equipment and systems
• Insurance and utilities
• Time spent managing logistics instead of growing your business

Outsourcing removes those fixed costs and turns fulfilment into a flexible, scalable function.

That’s why many growing businesses move to partners like SFI. It allows them to scale up (or down) without being tied to infrastructure.

See our guide around the pros and cons of outsourcing logistics.

 

So, how much will you actually pay for fulfilment?

 

The honest answer is: it depends on your business.

Fulfilment costs in the UK can look simple at first, but the detail is where it really matters.

Your fulfilment costs will be shaped by:

• Product size and weight
• Order volume
• Storage requirements
• Delivery speed expectations
• Packaging complexity

This is why most fulfilment providers, including SFI, offer tailored quotes rather than fixed pricing.

At SFI, fulfilment isn’t just about moving products from A to B. It’s about building a logistics setup that actually supports your business as it grows.

If you’re trying to understand what fulfilment would cost for your specific business, the best next step is to get a quote based on how you operate.

Get in touch with the team for your free, no obligations quote today.