From the horses mouth...
You have the option for "Purchase" or "Personal transfer" when you "send money".
Each type has different options.
"Gift" comes under personal transfer, and allows you to choose who pays the fee's.
"Personal transfer
It's free* when you use your PayPal balance or your bank account linked to your PayPal account. There is a charge of
3.4% + £0.20 GBP*
for debit or credit card payments
(either the sender or recipient can pay this fee)."
The * refers to different rates for people receiving various amounts of money per month...reducing in %'s as the per month amounts increase.
The "Purchase" option means the person being paid always pays the fee's.
My paypal balance is always empty and I don't have my bank account linked to my paypal account, therefore I've always paid the fee's as it retrieves funds from my debit card!
Not sure how this fits with your experiences outside the UK. Hope that helps clear it up
