Given you sell on ebay - probably something to be aware of.
If the item was listed at £40 - that would include the BPF (Buyer Protection Fee) (its broken down to show it at the checkout)
From your post - assume you messaged them asking if they would accept £35. They would have then updated the listing at £35 and the BPF would have been added on.
If you'd made an actual offer of £35 - then that is what you would have paid (provided the seller accepted) as the BPF would have been taken from the £35 paid.