PayPal Fee Calculator UK
Find out exactly what PayPal will charge on any UK transaction — or calculate how much to ask for so you receive the amount you actually want. Covers Goods & Services, Friends & Family, and custom rates.
PayPal Fee Calculator
UK transaction fees — updated for 2025
Enter the amount you will charge — see how much you receive after fees.
Enter the percentage rate and any fixed fee per transaction.
Your Results
PayPal UK fee calculation
Enter a transaction amount, choose a payment type, then click Calculate PayPal Fee to see your net payout and fee breakdown.
PayPal UK Fee Schedule 2025
Standard PayPal fee rates for UK domestic transactions. Rates shown are for GBP payments. International, currency conversion, and merchant rate agreement fees differ — always verify at paypal.com/uk.
| Transaction Type | Fee Rate | Fixed Fee | Who Pays | Notes |
|---|---|---|---|---|
| Goods & Services — PayPal balance / bank | 2.99% | £0.00 | Seller (deducted) | Standard domestic rate; buyer protection included |
| Goods & Services — Debit card | 2.99% | £0.00 | Seller (deducted) | Same rate as balance for most domestic cards |
| Goods & Services — Credit card | 2.99% | £0.00 | Seller (deducted) | May be higher for certain premium cards |
| Friends & Family — PayPal balance / bank | 0% | £0.00 | Neither | Free for domestic personal transfers; no buyer protection |
| Friends & Family — Debit or credit card | 2.9% | £0.30 | Sender | Fee charged to the person sending; recipient gets full amount |
| PayPal Invoice | 2.99% | £0.00 | Seller (deducted) | Same as Goods & Services; creating invoices is free |
| International (cross-border) | 2.99% + 1.29–1.99% | £0.00 | Seller (deducted) | Additional cross-border fee on top of standard rate |
| Currency conversion | Standard rate + ~3–4% | £0.00 | Payer | Applied on top of transaction fee when currencies differ |
| Merchant Rate (high volume) | Variable | Variable | Seller | Negotiated rate for sellers with high monthly volume |
PayPal Fees UK FAQ
Answers to the most common questions about PayPal fees in the UK.
For UK domestic Goods & Services transactions, PayPal charges 2.99% of the transaction amount with no fixed fee for standard payments from a PayPal balance, bank account, or most debit/credit cards. Rates can vary for international payments, currency conversions, and sellers with a merchant rate agreement. Always verify the current rate at paypal.com/uk before relying on these figures for business purposes.
Sending money to friends and family from a PayPal balance or linked bank account is free in the UK. However, if the sender pays using a debit or credit card, PayPal charges the sender approximately 2.9% plus a £0.30 fixed fee. In this case the recipient still receives the full amount — the sender pays the fee on top. Never use Friends & Family for buying goods or services, as it removes PayPal buyer protection.
Use the formula: Charge Amount = (Desired Net Amount + Fixed Fee) ÷ (1 − Percentage Rate). For example, to receive £100 after a 2.99% fee with no fixed fee: Charge = £100 ÷ (1 − 0.0299) = £103.09. Switch this calculator to “I want to receive” mode and it will calculate the exact charge amount for you automatically.
For Goods & Services transactions, the fee is deducted from the amount the seller receives. The buyer pays the full amount they enter; PayPal deducts its fee before crediting the seller’s account. Sellers can choose to increase their asking price to recover the fee — this is what the “I want to receive” mode in this calculator helps you work out. Note: PayPal’s terms prohibit explicitly charging customers a “PayPal surcharge” in many cases, so check the policy before doing so.
Yes. International PayPal payments attract an additional cross-border fee of approximately 1.29% to 1.99% on top of the standard transaction fee. If the payment involves a currency conversion, an additional spread of around 3%–4% is applied. This calculator covers domestic UK-to-UK GBP transactions only. For international payment fees, use PayPal’s fee calculator on their own website or check their fee schedule directly.
No. PayPal’s transaction fees are exempt from VAT in the UK under the financial services exemption. The percentages and fixed amounts shown are the total amount you pay — no VAT is added on top. However, if you are a VAT-registered business, you should note that PayPal fees are not recoverable as input VAT, as they fall under the financial services exemption.
PayPal fees on Goods & Services transactions cannot be waived — they are mandatory for commercial payments and fund PayPal’s buyer protection scheme. The only way to receive funds without a fee is via Friends & Family paid from a balance or bank account, but using this method for commercial sales violates PayPal’s User Agreement and removes buyer protection for your customers. High-volume sellers may be able to negotiate a reduced merchant rate by contacting PayPal directly.
PayPal invoices are charged at the same Goods & Services rate — currently 2.99% for domestic UK transactions. Creating and sending a PayPal invoice is completely free; the fee is only deducted when the invoice is paid. Invoices are a professional way to request payment and automatically include PayPal buyer protection, making them suitable for freelancers, tradespeople, and small businesses.