Apple Increases App Store Prices

American giant gadget maker, Apple is set is set to increase the price it charges for apps in the UK, India and Turkey.Apple last raised prices in its UK store in January 2015.

UK costs will numerically match those of the US, meaning that a program that costs $0.99 will now be 99p.
That represents a 25% rise over the previous currency conversion, which was 79p.

“Price tiers on the App Store are set internationally on the basis of several factors, including currency exchange rates, business practices, taxes, and the cost of doing business,” it said.

The rise will also affect in-app purchases but not subscription charges. Apple had already adjusted the UK prices of its iPhones and iPads in September and then its Mac computers in October by a similar degree.

Other tech firms to have announced price rises in the country in the months following the Brexit vote – which has been linked to a fall in sterling’s value – include Microsoft, Dell, Tesla and HP.

To mitigate the impact of the latest increase, Apple is introducing new lower-price tiers. Publishers will be able to charge users 49p or 79p for purchases but will have to re-price their products to do so.

However, the price quoted by Apple in the UK version of its store includes the 20% VAT sales tax. In the US, state sales taxes are not included in advertised prices but are added at the point of sale.

Apple has also altered the cost of apps in Romania and Russia to take account of local changes to VAT made at the start of the year.

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