Substack vs beehiiv vs Ghost for paid UK newsletters: GBP pricing, VAT, data residency and payouts

What to take away

Substack charges no monthly fee and takes 10% of paid subscription revenue, plus Stripe processing fees.
beehiiv lists Grow at £39 a month and Scale at £79 a month in GBP, before VAT, with 0% platform share on paid subscriptions.
Ghost(Pro) Creator costs $25 a month, roughly £20 before VAT, and takes 0% of subscription revenue.
UK VAT is 20% once you pass the £90,000 registration threshold. Stripe UK card fees start at 1.5% plus 20p. GoCardless UK direct debit is about 1% plus 20p, capped at £2.50.
Substack and beehiiv process data in the US by default. Ghost(Pro) runs on Google Cloud; self-hosted Ghost can use a UK region.

Compare the billing model first

Each platform answers one question differently: who carries the risk when nobody subscribes? Substack keeps setup near zero and takes 10% of paid subscription income. Ghost charges a flat fee and leaves your subscription revenue alone. beehiiv sits between the two, with plan fees that vary by tier.

£5 monthly example

£60annual revenue ex VAT
£6Substack fee
£3.30Stripe fee
£50.70net after fees

That is a variation on the subscription business model, where the recurring fee matters more than the one-off sale. Which version suits you depends on your expected paying-reader count and how long those readers stay.

Set the tests before you look at a demo. Reviewing newsletter platforms with acceptance tests rather than feature lists treats pricing, data handling and exit terms as pass or fail items.

Concrete GBP example: a £5 monthly subscription ex VAT brings £60 a year. Substack takes £6, Stripe takes about £3.30 at 1.5% plus 20p per payment, leaving about £50.70. beehiiv costs £468 a year on Grow and no share, so it beats Substack above about 78 readers.

What to check on each platform

Substack

Platform fee: 10% of paid subscription revenue
GBP pricing: You set reader prices in GBP
VAT invoice: Substack may collect and remit VAT on sales it handles
Data location: US processing by default
UK payments: Stripe card checkout

beehiiv

Platform fee: £39 or £79 a month, 0% share
GBP pricing: GBP checkout listed
VAT invoice: You account for VAT when you are the seller
Data location: US processing by default
UK payments: Stripe card checkout

Ghost

Platform fee: $25 a month for Creator, 0% share
GBP pricing: Ghost(Pro) bills in USD
VAT invoice: You account for VAT when you are the seller
Data location: Google Cloud or your chosen self-host region
UK payments: Stripe card checkout, plus custom options

Two rows matter more than the rest for a UK business: who controls the subscriber data, and whether the invoice shows VAT separately. Get both in writing before you migrate a list.

Platform decision points

Substack

Platform fee: 10% revenue
GBP pricing: You set
VAT invoice: May collect
Data location: US default
UK payments: Stripe card

beehiiv

Platform fee: £39/£79 month
GBP pricing: GBP checkout
VAT invoice: You account
Data location: US default
UK payments: Stripe card

Ghost

Platform fee: $25 month
GBP pricing: Bills in USD
VAT invoice: You account
Data location: Google Cloud/self-host
UK payments: Stripe card plus

VAT, invoices and the net figure

UK VAT standard rate is 20%. The registration threshold is £90,000. If you sell to UK consumers and are registered, the gross price includes VAT. If a platform is merchant of record, it may collect and remit that VAT and pay you a net amount.

Net per 100 readers

£5,070Substack net
£5,202beehiiv net
£5,430Ghost net

Ask for a worked example before you commit. Ten newsletter cost categories that budgets tend to leave out lists the items a fee comparison usually omits, from payment processing to refunds.

Then convert everything to one figure: what reaches your bank account per paying reader per year, after platform fees and VAT. On 100 readers at £5 a month ex VAT, Substack leaves about £5,070 after Stripe and platform fees. beehiiv leaves about £5,202. Ghost leaves about £5,430.

Data residency and consent

Subscriber addresses, open events and payment references are personal data. Substack and beehiiv are US companies, and their standard processing terms name US data centres, often on AWS. Ghost(Pro) runs on Google Cloud. Self-hosted Ghost can run in a UK region, such as AWS eu-west-2 or DigitalOcean London.

The ICO's UK GDPR guidance covers international transfers, lawful bases and reader rights.

A processor's data processing agreement, with the hosting region named, is the document that answers the residency question. A marketing page is not.

Payments, payouts and direct debit

Stripe is the default checkout on Substack, beehiiv and Ghost. Stripe UK card fees start at 1.5% plus 20p per UK card payment. Stripe payouts to a UK bank usually arrive in GBP, often within two working days.

GoCardless direct debit is a separate arrangement. UK pricing is about 1% plus 20p per transaction, capped at £2.50. It suits business readers and larger annual sums. None of the three platforms treats it as a default option.

If you also sell sponsorship inside a paid tier, the slot must be recognisable as advertising. The advertising codes set out the recognition rules for UK marketers.

Ask which legal entity invoices you. An overseas supplier changes the paperwork your accountant sees, even when the charge is shown in pounds.

Four tests before you commit

Price one paid tier for twelve months in pounds, at a low and a high paying-reader count.
Name the controller, the processor and the hosting region for every record you import.
Confirm the checkout your readers will use, including direct debit if you sell to businesses.
Write the exit test: what happens to the subscriber list and billing history if you leave.

Common questions

Does Substack or beehiiv take less of my paid subscription revenue?

Substack takes 10% of paid subscription income. beehiiv takes 0% on paid subscriptions but charges £39 or £79 a month. At 100 readers paying £5 a month, Substack costs £600 a year. beehiiv costs £468 on Grow. beehiiv is cheaper above about 78 readers.

Can I use GoCardless with Ghost, Substack or beehiiv?

Not as a default checkout. GoCardless needs a plan that supports it or a separate setup. Ghost gives you the most room because you control the Stripe account. Substack and beehiiv do not list GoCardless as a standard option.

Where should a UK creator's subscriber data sit?

Wherever you can name in a processing agreement, with the transfer mechanism documented. Substack and beehiiv standard terms point to US processing. Ghost(Pro) uses Google Cloud. Self-hosted Ghost can use a UK region. A named region and a signed agreement answer the question better than a jurisdiction preference.