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I need to cancel a payment (another flaudulent ebay seller, status there reads payment pending!) however, when I log into paypal on browser it's asking me to provide a driving licence or passport as proof of identification... Which I don't have
Click on the words "Help / Contact" at the bottom of paypals pages and use the phone option in the blue band at the top OR very bottom of page dependent on what country you are in. Scroll down past the list of help questions and click on 'Call us' bottom of that page. Log in and get the code.
Freephone from a UK landline or UK mobile number.
have you considered contacting Customer Service via Facebook or Twitter?
You can send them a personal message from their facebook or twitter pages.
It's: https://www.facebook.com/PayPalUK and @AskPayPal for Twitter.