Auctions Have Arrived
Blind auctions and clearer pricing for expiring domains
Demand for expiring .UK domains through Domain Parachute has grown significantly since our launch in 2024. As competition for the same domains increases, our first-come, first-served model is no longer the right approach for allocating contested domains.
We first announced our intention to introduce auctions last year and we’re now ready to make them generally available.
Below, we explain how auctions will work and outline the other changes you can expect.
How Our Auctions Work
When Domain Parachute secures a domain, a blind auction runs automatically at the time of the drop. Only customers who have placed a backorder for the domain are eligible to participate.
Where there is only a single backorder, no auction takes place, and the domain is awarded immediately at the minimum backorder price.
Auctions use proxy bidding. When you place a backorder, you submit a proxy bid — the maximum amount you’re willing to pay. Bids are not visible to other participants before or during the auction.
The highest bidder wins, but pays the second-highest bid plus an increment, or their own maximum bid if that is lower. You will never pay more than the amount you set.
If you are unsuccessful in securing the domain, you do not pay anything.
This change gives everyone the opportunity to backorder a domain and compete on equal terms, rather than being excluded because another customer has already placed a backorder.
For more information on the process, see our auction how-to guide.
How Pricing Is Changing
To support our new auction system, we’re simplifying our pricing.
Previously, domain backorders were offered at a fixed price of £39 excluding VAT. We are moving to a minimum bid of £39, with all bid amounts including VAT where applicable. The amount you bid is the maximum you will pay. This may result in a lower net price for some users.
This is intended to make the bidding process simpler and fairer, ensuring price clarity for all bidders.
