US online payments company Stripe has stepped into the UK market with an eye on knocking PayPal off its perch.

Stripe has set up partnerships with UK platforms Kashflow and FreeAgent for online accounting, and launched support channels for users with ecommerce software providers Shopify, Bigcommerce, Squarespace, Big Cartel and Wave. It has also opened an office in London.

John Collison, co-founder of Stripe, said it will make it possible for businesses to add card payments to a website in minutes.

Major cards

The service enables businesses to accept payments using the major cards, including Visa, MasterCard and American Express, and to charge in pounds, euros or US dollars.

Pricing in the UK starts at 2.4% plus 20 pence per transaction plus VAT.

Stripe has effectively thrown down the gauntlet to PayPal, highlighting that three founders of the online payments giant, Peter Thiel, Elon Musk and Max Levchin, are among its investors.