How it's cheaper to FLY to the US and buy an Apple iMac than pay for one in the UK: MailOnline investigation reveals how tech firms are bumping up prices in Britain


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Tech fans in the UK are continuing to pay over the odds for gadgets compared to customers in the US.

A MailOnline investigation has revealed that it is cheaper to buy a return flight to the US and buy Apple's latest iMac with Retina 5K display, than it is to buy it from the UK store.

And the price discrepancy also applies to other gadgets, including tablets, GoPro cameras, smartwatches and games consoles.

In the U.S, the high-end iMac costs $2,503 without state taxes. When state tax for California is added  a state with one of the highest taxes in the country - price increases to $2,727.91. In addition, California laws state that a recycle fee must be added of $4. This brings the total cost of the order to $2727.91, which converts to £1,704

In the U.S, the high-end iMac costs $2,503 without state taxes. When state tax for California is added  a state with one of the highest taxes in the country - price increases to $2,727.91. In addition, California laws state that a recycle fee must be added of $4. This brings the total cost of the order to $2727.91, which converts to £1,704

By comparison, the total price for the iMac in the UK is £1,999 with VAT of £333.17 already included. This is a difference of £295 for exactly the same order. A scan of flight prices from the UK to the US show prices starting at £269, which means its cheaper to buy a return ticket  and buy the iMac than place the order in UK

By comparison, the total price for the iMac in the UK is £1,999 with VAT of £333.17 already included. This is a difference of £295 for exactly the same order. A scan of flight prices from the UK to the US show prices starting at £269, which means its cheaper to buy a return ticket and buy the iMac than place the order in UK

The difference was first spotted by journalist Rupert Myers on Twitter.  

The prices for Apple's 27-inch iMac with Retina 5K display, bought directly from the UK and US Apple stores differ significantly. 

In the U.S, the high-end iMac costs $2,503 without state taxes.

When state tax for California is added - a state with one of the highest taxes in the country with an average of 9 per cent – the price increases to $2,727.91.

In addition to this, California laws state that a recycle fee must be added of $4. This brings the total cost of the order to $2727.91, which converts to £1,704.

PRICE BREAKDOWN FOR 5K IMAC 

The prices for Apple's 27-inch iMac with Retina 5K display, bought directly from the UK and US Apple stores differ significantly.

In the U.S, the high-end iMac costs $2,503 without state taxes.

When state tax for California is added - a state with one of the highest taxes in the country at an average of 9 per cent - the price increases to $2,727.91.

In addition to this, California laws state that a recycle fee must be added of $4. 

This brings the total cost of the order to $2727.91, which converts to £1,704.

By comparison, the total price for the iMac in the UK is £1,999 with VAT of £333.17 already included.

This is a difference of £295. 

By comparison, the total price for the iMac in the UK is £1,999 with VAT of £333.17 already included.

This is a difference of £295 for exactly the same order.

In Miami, as another example, the total price with taxes is $2686.43, or £1,678. 

A scan of flight prices from the UK to the US show prices starting at £269, with the cheapest destination listed as Fort Lauderdale in Miami.

These prices were correct at the time of writing.  

While flights from the UK to Los Angeles, California – where the state tax figure was taken from - start at £315.

This means it is cheaper to buy a return ticket to the US for £269 and buy the iMac for the equivalent of £1,704, than it is to place the order in the UK.

And it's only £20 more expensive when flying specifically to California. 

This price discrepancy doesn't just apply to Apple products, however.

During its own investigation, MailOnline compared prices for the Sony PlayStation 4, GoPro Hero4 Silver edition action camera, Samsung Galaxy Gear 2 Neo in black and the Apple iPad Air 2.

Prices were compared on both the UK and US Amazon sites, plus PC World in the UK and Best Buy in the US – with all taxes and VAT included.

At the time of the study, the PlayStation 4 cost £327 from Amazon UK and £349 from PC World. This was compared to $435 in the US, which converts to £272.

For the GoPro Hero 4 camera, prices were closer between the two countries, but UK customers still paid up to £17 more for the device.

In terms of the Samsung Gear 2 Neo, prices ranged from £135 ($216) on the American Amazon site up to £190 on its UK equivalent.

Click on the different items to compare prices 

MailOnline compared prices for the Sony PlayStation 4, GoPro Hero4 Silver, Samsung Galaxy Gear 2 Neo, and Apple iPad Air 2. Prices were compared on UK and US Amazon sites, PC World in the UK and Best Buy in US - with all taxes and VAT included. Prices are shown in pounds and are correct at the time of writing

And Apple's price discrepancy doesn't just apply to its own store. Customers buying the Apple iPad Air 2 from other retailers pay £399 in the UK at PC World, compared to £340 ($544) at Best Buy in the US.

This research follows a report by British Airways earlier this year that compared the price of dozens of products, and found clothes and make-up are also far cheaper abroad.

Ugg boots cost £60 less in the US, while some Victoria's Secret items are up to £30 cheaper across the Atlantic. Nike ID trainers are also 41 per cent cheaper in the US than the UK.

British Airways said the potential for huge savings made America the top destination this summer for British holidaymakers, with New York deemed the best for stocking up on goods.

Claire Bentley, managing director of British Airways Holidays, said: 'New York is one of the best places in the world to go shopping, especially now you can literally get more bang for your buck.

'If you're thrifty enough, the savings you can make could even pay for your trip.'

Many large US department stores are also known to offer further discounts in an attempt to attract international visitors, with Macy's offering shoppers an additional ten per cent off. 

This price discrepancy doesn't just apply to Apple products, however. At the time of the study, the PlayStation 4 (pictured) cost £327 from Amazon UK and £349 from PC World. This was compared to $435 in the US, which converts to £272 - a saving of £55

This price discrepancy doesn't just apply to Apple products, however. At the time of the study, the PlayStation 4 (pictured) cost £327 from Amazon UK and £349 from PC World. This was compared to $435 in the US, which converts to £272 - a saving of £55

For the GoPro Hero 4 camera (pictured left), prices were closer between the two countries, but UK customers still paid £17 more for the device
In terms of the Samsung Gear 2 Neo, prices ranged from £135 ($216) on the American Amazon site up to £190 on its UK equivalent.

For the GoPro Hero 4 camera (pictured left), prices were closer between the two countries, but UK customers still paid £17 more for the device. In terms of the Samsung Gear 2 Neo, prices ranged from £135 ($216) on the American Amazon site up to £190 on its UK equivalent

A further study revealed British shoppers are also paying as much as 60 per cent more for high street fashion brands than the rest of Europe.

Retail figures revealed global chains including H&M, Zara and Mango hike up prices for their UK customers.

In response to the results, Which? executive director Richard Lloyd said: 'UK consumers are getting a raw deal by paying up to hundreds of pounds more for the same tech products on sale in the US.

'Manufacturers should play fair and explain why consumers are paying more for buying in the UK.'

This research follows a report by British Airways earlier this year that compared the price of dozens of products and found clothes and make-up are also far cheaper abroad. Ugg boots cost £60 less in the US, while some Victoria's Secret items are up to £30 cheaper across the Atlantic (price differences as of June shown)

This research follows a report by British Airways earlier this year that compared the price of dozens of products and found clothes and make-up are also far cheaper abroad. Ugg boots cost £60 less in the US, while some Victoria's Secret items are up to £30 cheaper across the Atlantic (price differences as of June shown)

During its own investigation, Which? discovered that some prices vary by as much as 26 per cent.

This does not reflect the difference between the average 9 per cent sales tax in California, for example, and the UK's 20 per cent VAT rate.

Based on these figures, the difference should be 11 per cent at most.

Which? producer Rory Boland said at the time: 'Retailers also claim that the cost of doing business in the UK is higher and that the increased cost of hiring staff, rent and other overheads is passed along in the price tag.

'One of the more solid answers is that the larger customer base in the US allows shops to buy the actual products in larger and thus cheaper quantities.'

But analyst Neil Saunders, from retail consultancy Conlumino, told MailOnline: 'Retailers will look at each individual country to see what consumers are willing to pay.

'If they can charge more in the UK, they will.'

 

 



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