Quick verdict
Both are no-monthly-fee, no-contract readers at 1.75% in person. Square wins on POS software and ecosystem; Zettle makes most sense if you already live in PayPal and want takings in your PayPal balance.
Side by side
 Square4.5 |  PayPal Zettle4.2 | |
|---|---|---|
| Monthly fee | £0 (paid POS tiers available) | £0 |
| Transaction fee | 1.75% in-person (no monthly/setup fee on standard) | 1.75% card & contactless |
| Card reader from | £19 + VAT | £29 + VAT (first reader often discounted) |
| Contract | No contract (pay-as-you-go) | No contract (pay-as-you-go) |
| Payout speed | Next working day (instant transfer for a fee) | 1–2 working days (into PayPal/bank) |
| No monthly fee | ||
| No contract option | ||
| Restaurant features | ||
| Inventory | ||
| Online payments | ||
| Tap to Pay | ||
| Fast payouts |
Choose Square if…
Choose Square if you want the stronger free POS app - inventory, online store, invoices and loyalty - with room to grow into Square for Retail or Restaurants. Best for cafés, shops and service businesses.
Choose PayPal Zettle if…
Choose PayPal Zettle if you already use PayPal and want your card takings to flow straight into your PayPal balance, with a tidy reader and a simple free app. Great for pop-ups and PayPal-first sellers.
Best for different businesses
| Business | Winner | Why |
|---|---|---|
| Café / small retail | Square | Better free POS, inventory and reporting. |
| PayPal seller | Zettle | Funds flow into your PayPal balance. |
| Online + in-person | Square | Free online store keeps stock in sync. |
| Pop-ups / occasional | Zettle | Simple, cheap reader with no commitment. |
FAQs
Are Square and Zettle the same price?
Both charge 1.75% per in-person card transaction with no monthly fee on their standard plans. The differences come down to software, payouts and ecosystem rather than the headline rate.
Which is better, Square or Zettle?
For most UK small businesses Square is the stronger all-rounder thanks to its POS software and ecosystem. Zettle is the better pick if you're already invested in PayPal.