You'll be paying for everything in US dollars, as this is essentially just an American Kindle that Amazon sells overseas. Amazon promises a UK store will launch in the future. There are some UK newspaper subscriptions available, though, including those for The Daily Telegraph and The Times. We bought a subscription to the former and got daily deliveries of the paper's news stories, editorial columns, letters and so forth, all formatted perfectly for the Kindle's display. We think this is arguably more useful than the bookstore itself -- at least at the moment.
Due to Amazon's DRM (digital rights management -- the stuff that crippled legal music downloads for years), purchased books only work on a Kindle. You can't move them to a competing device in the future. This lock-in is akin to that of the iTunes of old, with which only iPods were compatible. But, like Apple's ecosystem, the Kindle provides a painless, easy and intuitive overall experience. You just have to weigh up what's important to you: simplicity or openness.
With the Kindle, Amazon has put the focus on simplicity -- there's an integrated bookstore, no need for a computer and no wireless contract to sign. But this simplicity comes at the expense of freedom, so there's no compatibility with the competing ePub ebook format used by Waterstone's, for example. It's iTunes all over again.
At this point in time, we're sticking with physical books. Amazon's digital bookstore just isn't ready for us to invest over £200 in, when it's a system closed to competitors. But we have no doubt it will eventually get to the point where we'll be happy to make the investment.
Edited by Charles Kloet