What weird people....I let PayPal know I hadn't received the bitcoin and opened a dispute.
I showed them the ridiculous email I had got from the site and when PayPal confronted them with it they answered with:
Your order has been flagged as potentially high risk and therefore it has been held for manual review.
A Refund was issued.
31/03/2015 19:52 BST--------------------------------------------------
Potentially high risk?
Eh?
Obviously lunatics but at least I have my money back.