HiWhich options do I have to respond to a buyer who hasn't even paid for an item and gave me neutral feedback?
Did you open an unpaid item dispute in the resolution centre?
If not then do it now and close it after 4 days, then ask ebay to remove the feedback.
You appear to have forgotten to register as a business seller, best do that first.
You need to open an unpaid item dispute within 32 days from the sale for any non-payers.
Once the dispute is closed without payment you can get their feedback removed.
You seem to have forgotten to register as a business seller, which you clearly are.
You will then have to operate in accordance with the Distance Selling Regulations as well as telling the taxman.
Ebay and the Inland Revenue are working together to weed out all the unregistered business sellers.