PayPal Charges UK Calculator 2026 — Calculate PayPal Fees UK

Calculate exact PayPal charges UK for goods and services, invoices, and international sales in British Pounds (£ GBP). Instant reverse & direct calculation with official 2026 UK PayPal fee schedules.

💳 UK PayPal Fees (GBP) 🇬🇧

Transaction Type:

Percentage:

Fixed Fee:

📥 To Receive:

You Must Send:

£0.00

Fee:

£0.00

📤 If You Send:

Recipient Gets:

£0.00

Fee:

£0.00

💸 Payouts UK 🇬🇧

Region:

Percentage:

Fee Cap:

📥 To Receive:

You Must Send:

£0.00

Fee:

£0.00

📤 If You Send:

Recipient Gets:

£0.00

Fee:

£0.00

🎁 Donations UK (GBP) 🇬🇧

Account Type:

Donor Region:

Percentage:

Fixed Fee:

📥 To Receive:

You Must Donate:

£0.00

Fee:

£0.00

📤 If You Donate:

Charity Receives:

£0.00

Fee:

£0.00

Official PayPal Charges UK Breakdown (2026 Fee Schedule)

Understanding exact PayPal charges UK is vital for sole traders, online retailers, freelancers, and businesses operating in Great Britain and Northern Ireland. The domestic UK pricing zone encompasses England, Scotland, Wales, Northern Ireland, as well as the Channel Islands (Guernsey, Jersey) and the Isle of Man.

Transaction Type	UK Domestic Rate	Europe / EEA (+1.29%)	Rest of World (+1.99%)
Goods and Services (Commercial Checkout)	2.90% + £0.30	4.19% + £0.30	4.89% + £0.30
PayPal Invoices & Business Payment Requests	2.90% + £0.30	4.19% + £0.30	4.89% + £0.30
In-Person QR Code Payments (Above £10.00)	1.50% + £0.10	2.79% + £0.10	3.49% + £0.10
In-Person QR Code Payments (£10.00 and under)	2.00% + £0.05	3.29% + £0.05	3.99% + £0.05
Micropayments (Transactions under £5.00)	5.00% + £0.05	6.29% + £0.05	6.99% + £0.05
Friends & Family (Personal UK Balance or Bank)	Free (£0.00)	5.00% (Min £0.99, Max £2.99)	5.00% (Min £0.99, Max £2.99)
Charity & Non-Profit Organisations	1.40% + £0.30	2.69% + £0.30	3.39% + £0.30

Gross Amount vs. Net Amount in the UK

To ensure accurate accounting and profit margins, distinguish between these two core metrics:

Gross Total (Buyer Payment): The total amount paid by your customer before PayPal UK deducts processing fees.
Net Payout (Take-Home Funds): The net GBP amount cleared into your PayPal balance, available to transfer to your UK bank account.

How to Calculate PayPal Charges UK: Mathematical Formulas & Steps

Depending on whether you are issuing an invoice or receiving a payment, you need the direct or reverse calculation formula:

1. Reverse Calculation: How Much to Request to Receive Exact Net in GBP

When you need an exact sum (e.g., £100.00) for services rendered, use this formula to offset PayPal charges:

Invoice Amount = (Desired Net + Fixed Fee £0.30) / (1 - Variable Rate 0.029)

Example for £100 net: (£100 + £0.30) / (1 - 0.029) = £100.30 / 0.971 = £103.30.

2. Direct Calculation: Fee Deduction from an Incoming UK Payment

When a client or customer sends a specific gross payment:

PayPal Fee = (Gross Amount × 2.90%) + £0.30

Net Payout = Gross Amount - Fee

Example for £100 payment: (£100 × 0.029) + £0.30 = £2.90 + £0.30 = £3.20 Fee. Net Payout = £96.80.

Quick Reference Examples (Standard UK Rate: 2.90% + £0.30)

£50 Sale

Fee: £1.75
You Receive: £48.25
To get £50: Request £51.80

£100 Sale

Fee: £3.20
You Receive: £96.80
To get £100: Request £103.30

£250 Sale

Fee: £7.55
You Receive: £242.45
To get £250: Request £257.78

£500 Sale

Fee: £14.80
You Receive: £485.20
To get £500: Request £515.24

£1,000 Sale

Fee: £29.30
You Receive: £970.70
To get £1,000: Request £1,030.18

PayPal Goods & Services vs. Friends & Family in the UK

In the UK, payment classifications carry strict rules under the PayPal User Agreement:

Goods and Services: Used for commercial selling on marketplaces, independent ecommerce shops, and freelance work. The seller incurs the 2.90% + £0.30 fee. Both buyer and seller are covered by PayPal Buyer Protection and Seller Protection.
Friends & Family: Strictly for personal transfers (e.g., sending money to family members or sharing a bill). Free when funded by a UK bank account or PayPal balance. No commercial protection is provided, and using personal transfers for selling violates terms and risks account restriction.

4 Ways UK Merchants Can Lower PayPal Charges in 2026

Switch to Micropayments for Small Tickets: If your average order value is under £5.00, PayPal's Micropayments pricing (5.0% + £0.05) saves substantial margin compared to the standard £0.30 fixed fee. On a £3.00 transaction, standard fees consume £0.39 (13%), while micropayments only costs £0.20.
Adopt PayPal QR Code Payments: For in-person events, craft fairs, or retail, QR code payments over £10.00 carry a fee of only 1.50% + £0.10, offering a major discount over online checkout.
Use PayPal Payouts (Mass Payments): For sending affiliate commissions or contractor payments, UK domestic Mass Payments charges 2.00% with a strict £1.00 fee cap (£20.00 cap internationally). Sending £1,000 normally costs £29.30, but Payouts caps the fee at just £1.00.
Offer Faster Payments / Open Banking: Supplement your checkout options with UK bank transfers via Open Banking (Faster Payments), where transaction costs are near zero.

Frequently Asked Questions — PayPal Charges UK (FAQ)

What are the standard PayPal charges UK for selling goods and services?

For domestic commercial payments (selling goods or services online in the UK), PayPal charges a standard rate of 2.90% plus a fixed fee of £0.30 per transaction.

How much does PayPal charge for £100 in the UK?

On a domestic £100 transaction (2.90% + £0.30), PayPal deducts £3.20 in fees, leaving you with £96.80. If you wish to receive exactly £100 net in your account, you need to request or invoice £103.30.

What are PayPal UK business fees for invoicing?

In the UK, domestic PayPal Invoices are charged at the standard commercial rate of 2.90% plus £0.30 per transaction. Cross-border invoices incur additional international surcharges.

Are PayPal Friends and Family payments free in the UK?

Yes, personal payments to friends and family within the UK are completely free if funded from your PayPal balance or linked UK bank account. If funded with a credit card, standard card handling fees apply.

What are the international cross-border charges for UK PayPal accounts?

For payments from outside the UK, PayPal adds a cross-border fee: +1.29% for transactions originating in the EEA (Europe) or +1.99% for all other countries (such as the US or Canada). If currency conversion occurs, an additional 3.00% to 4.00% spread applies.

Does PayPal UK refund selling fees when I issue a refund?

No. Under PayPal's UK User Agreement, the original fixed fee (£0.30) and percentage fee (2.90%) are NOT refunded to the seller when a refund is issued to a customer.

Disclaimer: calpp.io is an independent fee calculation tool and is not affiliated, endorsed, or associated with PayPal (Europe) S.à r.l. et Cie, S.C.A. Fee structures reflect the official PayPal UK User Agreement as of 2026.