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The Human Fertilisation and Embryology Authority (HFEA) has launched a public consultation to see how regulation of donation can be improved.
Some campaigners have described any exchange of money for eggs or sperm as an inducement to sell body parts.
The HFEA is concerned about long waiting lists for egg donation in the UK.
It says some couples are waiting up to five years and this is one of the reasons people are looking abroad.
More money for donors?
An EU directive means donors cannot be "paid", but they can be "compensated" to cover expenses and loss of earnings.
The rules have been interpreted differently across Europe. In the UK, the limit is £250. Egg donors in Spain can get £765.
Professor Lisa Jardine, head of the HFEA, said Spain had higher donation rates, but that it might be due to cultural reasons.
She added that the level of compensation will be discussed in the consultation: "The system is...