Brexit News: Apple App Store Prices See Sharp Increase In Britain

While the full effects of Brexit are unclear, they will soon take their toll on Apple enthusiasts. The Cupertino company is raising the cost of purchases in its App Store by 25 percent for residents of the United Kingdom.

The result of the increase will push the cost of apps up to £0.99 from £0.79—now nominally matching the $0.99 cost in the United States. Apps previously priced at £1.49, will jump to £1.99. The price hike is also expected to take effect on more expensive apps and in-app purchases as well, though subscription prices won’t see the same change.

Apple’s decision to bump up the cost of apps comes as the British pound continues its weak performance against the U.S. dollar in the wake of Brexit. Late last year, the currency slipped to a 31-year low against the dollar.

While the United Kingdom may stand alone in the face of the European Union following the Brexit vote, it has company when it comes to the increased App Store costs.

Users in India will experience a 14 percent service tax tacked on to their purchases, plus levies of 0.5 percent introduced by the government in December 2016. Owners of iOS devices in Romania will see a tax rate jump from 19 percent to 20 percent, and a value added tax (VAT) of 18 percent will hit Apple fans in Russia.

The changes in the App Store are just the latest shoe to drop from Apple within the U.K. border; last October, the company cranked up the cost of its new line of MacBook notebooks in October 2016 in response to the weak performance of the British pound. The Cupertino company also charged more for the iPhone 7.

Apple isn’t alone in hitting the U.K. with increased costs. Technology companies from around the world have adjusted their price tags to a post-European Union Britain; Dell implemented a blanket 10 percent increase on costs charged to U.K. retailers, while phone maker OnePlus raised the price on its flagship OnePlus 3 handset by 6.5 percent.

The pound continued its troubles on the day Apple announced its App Store increase, with inflation rates in the U.K. surging by to 1.6 percent —the fastest increase in more than two years.

The Apple App Store price changes are expected to start appearing within the next seven days.