In the UK, PayPal has reached 6.3 million accounts, representing 144% growth in the number of accounts held with the company. The company estimates 10% of the UK population are now PayPal customers and that one in three of the country's 15 million online shoppers use the service. Its payments system handled total payments worth £350 million ($600 million) in Q4 2004.

PayPal launched its UK website in 2003 and became regulated as an Electronic Money Issuer by the FSA in February 2004. In 2004 it introduced an ACH-in system, enabling customers to fund PayPal transactions directly from their bank accounts.