UK Profit Margin Calculator
Profit margin = profit ÷ revenue. Defaults £700 cost on £1,000 revenue = 30% margin (42.86% markup).
Updated May 2026, using HMRC 2026/27 rates and current ONS / gov.uk figures.
Margin and markup are commonly confused. Margin uses revenue as the denominator; markup uses cost. The calculator shows both.
Worked examples
Revenue £1,000, cost £700 → £300 profit. Margin 30%, markup 42.86%.
Revenue £100, cost £50 → margin 50%, markup 100%.
Frequently asked questions
Margin vs markup?
Margin = profit ÷ revenue. Markup = profit ÷ cost. They diverge as profit increases.
What's a healthy retail margin?
Highly sector-dependent. Hospitality 5-15%; SaaS 70-90%; UK supermarkets 1-3%.