OK, to clarify - the charge is solely for the seller. The point I was making, is if you are selling "cheap" items, the £1.99 charge + the commission, makes it an expensive transaction. And as rickf said, you then have to factor in ebays commission.
However, as Simsy says, I think I have misinterpreted the changes and the £1.99 does indeed apply to out of country sales.
You can find the new terms here. It's about half way down the page.
Please may I apologise for misinformation.