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Home » FCA » Trading » What Are The Best Forex Brokers In The UK?
For the 10th year running, our team compared FCA-regulated forex brokers that offer forex trading for residents in the United Kingdom. 65 brokers were compared, shortlisted, and ordered based on spreads and platform features.
Written byJustin Grossbard
Edited byLaura Wolfe
Fact Checked byRobert Payne
Edited byLaura Wolfe
Fact Checked byRobert Payne
Updated:
What Changed?
Each month we update average spreads data published by the brokers the retail brokers lose %
Fact Checked
We double-check broker fee details each month which is made possible through partner paid advertising. Learn more this here.
Our forex comparisons and broker reviews are reader supported and we may receive payment when you click on a link to a partner site.
Our findings determined the February 2024 top FCA regulated brokers are:
- Pepperstone - Best Forex Broker In UK Overall
- OANDA - Most Trusted Broker Overall
- eToro - Great Copy Trading Software
- Plus500 - Good Forex Trading App
- Eightcap - Top TradingView Forex Broker
- IG Group - Best Range Of Trading Platforms
- CMC Markets - Top Range Of Currency Pairs
- XTB - Best Forex Demo Account
- City Index - Top Forex Broker For No Commissions
- FxPro - Good UK Based Customer Services
Broker | Our Rating | Regulation | Standard EUR/USD Spread | Standard GBP/USD Spread | Standard AUD/USD Spread | Raw EUR/USD Spread | Raw GBP/USD Spread | Raw AUD/USD Spread | Commissions (USD Base) | MetaTrader 4 | MetaTrader 5 | cTrader | Execution Speed | Minimum Deposit | Currency Pairs | Crypto CFDs | Retail Leverage | Prof. Leverage | |
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
98 | FCA CySEC | 1.12 | 1.69 | 1.22 | 0.1 | 0.6 | 0.3 | $3.50 | ![]() | ![]() | ![]() | 77ms | $0 | 62+ | 12+ | 30:1 | 500:1 | ||
81 | FCA CIRO | 0.6 | 0.9 | 0.7 | - | - | - | - | ![]() | ![]() | ![]() | - | $0 | 70+ | 4+ | ||||
43 | FCA CySEC | 1.0 | 2.0 | 1.0 | - | - | - | - | ![]() | ![]() | ![]() | 130ms | $200 (Australia), $50-$100 (EU) | 49+ | 46+ | 30:1 | 400:1 | ||
57 | FCA CySEC | 1.70 | 2.3 | 1.4 | - | - | - | - | ![]() | ![]() | ![]() | 140ms | $100 | 71+ | 15+ | 30:1 | 300:1 | ||
76 | FCA CySEC | 1.0 | 1.0 | 1.2 | 0.06 | 0.73 | 0.27 | $3.50 | ![]() | ![]() | ![]() | 143ms | $100 | 40+ | 250+ | 30:1 | 500:1 | ||
71 | FCA BaFin, CySEC | 1.13 | 1.66 | 1.01 | 0.16 | 0.59 | 0.29 | $6.00 | ![]() | ![]() | ![]() | 174ms | $450 | 100+ | 12+ | 30:1 | 200:1 | ||
69 | FCA BaFin | 1.12 | 1.30 | 1.64 | 0.5 | 0.9 | 0.6 | $2.50 | ![]() | ![]() | ![]() | 138ms | $0 | 338+ | 19+ | 30:1 | 500:1 | ||
46 | FCA CySEC, BaFin | 0.9 | 1.4 | 1.3 | 0.9 | 0.14 | 0.13 | - | ![]() | ![]() | ![]() | 160ms | $250 | 49+ | 16+ | 30:1 | 500:1 | ||
66 | FCA ASIC, MAS | 0.70 | 1.1 | 2.2 | - | - | - | - | ![]() | ![]() | ![]() | 95ms | $150 | 84+ | 25+ | 30:1 | 500:1 | ||
61 | FCA CySEC | 1.32 | 1.7 | 1.95 | 0.32 | 0.37 | 0.51 | $3.50 | ![]() | ![]() | ![]() | 151ms | $0 | 69+ | 30+ | 30:1 | 200:1 |
1. Pepperstone - The Best UK Forex Broker
Forex Panel Score
98
Average Spread
EUR/USD = 1.12
GBP/USD = 1.69
AUD/USD = 1.22
Trading Platforms
MT4, MT5, cTrader, TradingView, Capitalise.ai
Minimum Deposit
$0
Visit Broker
Why We Recommend Pepperstone
We are impressed with Pepperstone as they provide services that deliver better overall value for you as a trader. Their combination of low spreads (average 1.12 pips for USD/EUR), selection of trading platforms (MT4, MT5, TradingView and cTrader), and fast execution speeds (77ms for limit orders made the broker an easy choice to recommend overall.
Pros & Cons
- Commission-free trading averaging 1.12 pips (EUR/USD)
- Good selection of trading platforms
- 24/7 Award-winning customer service
- Demo account for 90 days only
- No Islamic account in the UK
- Educational resources are outdated
- Limited e-wallet payment methods
Broker Details
Pepperstone’s appeal starts with its competitive pricing, offering you a choice of how you want to pay the spreads. The standard account has no brokerage commissions and an average spread of 1.12 pips for the EUR/USD.
If you want even tighter spreads, the Razor account is an excellent choice with a £2.25 per side commission and provides an ECN-like pricing environment. Spreads for the EUR/USD pair average 0.1 pips which is among the best in the industry.
Regardless of which account you choose, our tests show Pepperstone offers one of the fastest execution speeds (avg. 77ms), ensuring your trades are executed almost instantly. Execution speed is vital to getting the price you want and avoiding slippage, so it’s good to see Pepperstone shine in this.
You can use four trading platforms – MetaTrader 4, MetaTrader 5, cTrader and TradingView to trade the 62 forex pairs on offer and their impressive overall product range. Offering over 1,200+ financial instruments, including equities, commodities, and indices.
Pepperstone ReviewVisit Pepperstone
2. OANDA - Most Trusted Broker In The UK
Forex Panel Score
81
Average Spread
EUR/USD = 0.6 GBP/USD = 0.9 AUD/USD = 0.7
Trading Platforms
MT4, TradingView, OANDA Trade
Minimum Deposit
$0
Visit Broker
Why We Recommend OANDA
OANDA is our top pick for the most trusted broker in the UK due to the use of regulators in many territories. Tier-1 regulators include FCA, NFA/CFTC, and ASIC, showcasing its reliability and trustworthiness.
We found the OANDA Trade platform particularly beneficial as you can set your trade sizes, which is perfect for lowering your risk if you are a beginner. Alternatively, OANDA allows you to trade forex on TradingView, giving you access to a platform with advanced charting tools with OANDA’s markets and low spreads.
Pros & Cons
- Well-regulated and trusted broker
- No minimum deposit
- Trade customised lots on OANDA Trade
- Doesn’t provide 24/7 support
- Not an ECN/STP broker
- No share CFDs
Broker Details
OANDA is one of the most regulated forex brokers in the UK, with licenses to provide trading services worldwide. We give OANDA one of the highest trust scores because the broker has regulation from multiple Tier-1 financial regulators.
Tier-1 regulators include:
- FCA – UK,
- NFA/CFTC – US,
- MAS – Singapore,
- CIRO – Canada,
- ASIC – Australia;
The broker offers Metatrader 4, TradingView and their own OANDA Trade. OANDA Trade will appeal to beginner trades because it has a guaranteed stop-loss order for risk management.
3. eToro - Great Copy Trading Software
Forex Panel Score
43
Average Spread
EUR/USD = 1
GBP/USD = 2
AUD/USD = 1
Trading Platforms
eToro Trading Platform
Minimum Deposit
$50
Visit Broker
Why We Recommend eToro
eToro has the most user-friendly way to simplify copy trading with its eToro CopyTrader platform, making it accessible regardless of your knowledge of the markets.
A key feature that makes it easy for “non-traders” is the built-in risk-management tool that cuts your investments with a trader if you’ve lost a percentage of your capital with them. If the trader is underperforming, you can avoid further losses from their poor performances (saving you money).
Pros & Cons
- Easy access to copy trading tools
- User-friendly platform
- No commissions on trading
- Slightly expensive spreads
- Doesn’t support MT4
- Has withdrawal fees
Broker Details
With its unique focus on social trading, eToro provides a network for connecting with and copying other successful traders. This is a huge advantage if you are new to trading or looking to diversify your strategies.
eToro’s CopyTrader feature lets you copy the trades of top traders globally directly into your account. You can see each trader’s current and past performance, helping you find the right trader to copy.
This transparency and ease of management make it incredibly appealing, especially if you’re keen on learning from others’ experiences. With over 30,000,000 active traders worldwide on eToro, the options for copy trading are vast and varied. You can copy based on returns, the number of followers, and preferred markets, offering a personalised trading experience.
4. Plus500 - Top Forex Trading App
Forex Panel Score
57
Average Spread
EUR/USD = 1.7
GBP/USD = 2.3
AUD/USD = 1.4
Trading Platforms
Plus500 Trading Platform
Minimum Deposit
$100
Visit Broker
Why We Recommend Plus500
Plus500 has an excellent trading app as it is well designed to manage trades and analyse the markets on the go. For me, the +insights service is a top feature with trader sentiment indicators and price alerts, which send a notification to your phone and email.
With over 1,200 markets and average spreads of 1.7 pips on EUR/USD, plus500 combines variety with affordability with its services.
Pros & Cons
- Excellent mobile trading app
- Additional trading tools with +Insights
- Low spreads on CFDs
- Inactivity fees
- No MetaTrader 4
- Lacks market research tools
Broker Details
We tested the Plus500 trading app and were impressed with the user-friendly design and speed at which the trading app worked on my phone. A feature we were impressed with was the +insights service, which includes trader sentiment indicators and price alerts. These tools are invaluable, especially if you are a beginner, as they provide insights into market trends and notify you of significant price changes.
Another feature of the trading app is its risk management tools, specifically the guaranteed stop-loss orders (GLSO). Not all brokers provide this, but we think it’s an excellent tool – especially if you are trading in volatile environments where your risk will be capped.
The broker also has decent average spreads from 1.7 pips on EUR/USD with commission-free trading across its range of CFDs, which is essential if you want to minimise costs. Plus, there are no fees for deposits or withdrawals, making Plus500 a low-cost broker with a decent trading app.
5. Eightcap - Good TradingView Forex Broker
Forex Panel Score
75
Average Spread
EUR/USD = 1
GBP/USD = 1
AUD/USD = 1.2
Trading Platforms
MT4, MT5, TradingView, Capitalise.ai
Minimum Deposit
$100
Visit Broker
Why We Recommend Eightcap
Eightcap is a top choice for traders looking for low spreads, fast execution, and the TradingView platform. The broker is the only broker to specialise solely in the TradingView platform. You can only trade with a standard account but the spreads are low averaging 1.06 pips when you combine the 5 major currency pairs and well below the industry average of 1.52 pips.
Pros & Cons
- Tight spreads on Standard account
- Has automated trading tools
- Solid choice of trading platforms
- Limited product range
- Cannot copy trade
- Has a minimum deposit requirement
Broker Details
Eightcap is a newer broker than the others on this list but has earned the reputation of having the lowest spreads in the industry. We tested this and found that the standard account has average spreads of 1 pip for EUR/USD, GBP/USD and EUR/USD. These spreads make them some of the most competitive for commission-free trading.
6. IG Group - Great Range Of Trading Products
Forex Panel Score
71
Average Spread
EUR/USD = 1.13
GBP/USD = 1.66
AUD/USD = 1.01
Trading Platforms
MT4, IG Trading Platform, L2 Dealer, ProRealTime
Minimum Deposit
$0
Visit Broker
Why We Recommend IG Group
IG Group offers the most extensive range of financial markets in the UK, boasting over 17,000 financial products in its catalogue. This wide choice includes popular markets like forex (GBP/USD), stocks, commodities, and indices with the addition of more advanced products like etfs, futures and options trading.
Pros & Cons
- Extensive choice of CFD markets
- IG trading platform is user-friendly
- Provides market analysis with IGTV
- High minimum deposit
- MT4 can’t access all of IG Group’s markets
- Lacks social trading tools
Broker Details
IG Group has the largest range of financial instruments available in the UK, with an exceptional choice of 17,000+ markets. The markets cover popular markets like forex, stocks, commodities and indices but also offer other ways to trade through futures and options trading.
When opening an account, you’ll get the standard account (spread-based and commission-free), with an average spread of 1.13 pip on EUR/USD. They are not the cheapest spreads in our testing.
IG Group has several platforms, including MetaTrader 4 and their own IG Platform. The broker doesn’t offer anything different to its competitors with MT4, but the IG Platform is one of the better proprietary platforms than its peers (second only to CMC Markets).
While exploring the IG Platform, We were impressed with its simplicity; the design is focused on the charts and doesn’t hinder your vision with widgets like the news. You’ll also find it has a series of 20+ built-in indicators that cover the more popular indicators. However, it lacks that you cannot add your own indicators like you can on MT4.
7. CMC Markets - Most Currency Pairs To Trade With
Forex Panel Score
69
Average Spread
EUR/USD = 1.12
GBP/USD = 1.3
AUD/USD = 1.64
Trading Platforms
MT4, CMC NGEN
Minimum Deposit
$0
Visit Broker
Why We Recommend CMC Markets
We like CMC Markets as their CMC Next Generation platform is excellent for trading CFD like their 338 currency pairs. The platform has useful tools to help you find new ideas when trading CFDs along with 150 technical indicators and a pattern recognition tool, which alerts you to emerging and completed patterns in popular markets.
This tool is beneficial if you are a beginner and can be used to help you learn technical analysis and find new trades.
Pros & Cons
- Largest foreign exchange markets
- Excellent spread betting platform
- Low spreads available
- Lacks customer support via mobile app
- FX pair variations may confuse beginners
- Doesn’t provide options trading
Broker Details
Founded in 1989 with headquarters in London CMC Markets has 3 types of trading accounts. A Standard account with average spreads of 1.12 pips for the EUR/USD currency pairs and an FX active for low-spread trading with average spreads of 0.5 pips for EUR/USD. This account has an average spread of 0.5 pips but commission is its selling point with $2.50 USD per lot. You can also spread bets if this is your preferred type of derivatives trading.
When using The Next Generation (NGEN) platform, We were impressed with the advanced tools, including a pattern recognition tool that used chart and candlestick patterns to find potential trading ideas.
We liked that you could set alerts for the tool to notify you when a pattern has been completed, allowing you to analyse the chart to validate the idea. It’s quite a decent tool if you are a beginner and need some inspiration to find trading ideas.
8. XTB - Best Forex Demo Account
Forex Panel Score
46
Average Spread
EUR/USD = 0.9
GBP/USD = 1.4
AUD/USD = 1.3
Trading Platforms
MT4, xStation 5
Minimum Deposit
$0
Visit Broker
Why We Recommend XTB
XTB’s demo account comes with a generous virtual balance of £100,000, giving you plenty of virtual funds to practice and improve. We found XTB’s demo account useful for testing strategies; the time and funds provided are more than its competitors.
Using a demo account from XTB is an ideal method if you are a beginner learning to trade, as it provides a risk-free environment with live price feeds. XTB provides over 4,500 markets and allows you to demo their xStation5 platform or MetaTrader 4.
Pros & Cons
- Generous demo account
- Decent selection of financial markets
- Low minimum deposit
- You have to request access to MT4
- Inactivity fees charged
- No crypto markets in the UK
Broker Details
XTB is a top broker that provides a good demo account experience, allowing you to test new strategies or learn the market with virtual funds in a risk-free environment. Demo accounts are essential when you start trading, so XTB provides a generous £100,000 virtual balance, allowing you plenty of room to make mistakes and grow an account.
You can use the demo account on their proprietary platform, xStation 5, which gives you access to over 5,500 financial instruments including forex, indices, commodities, and share CFDs. Alternatively, XTB also offers MetaTrader 4 as a demo platform, allowing you to utilise MT4’s best features, like automating trades and its technical indicators with XTB’s markets.
When you’re ready to move from the demo to live trading, XTB offers various account types to suit different trading preferences. The broker provides commission-free forex trading and competitive spreads, with an average spread of 0.9 pips for EUR/USD, making them an attractive option.
9. City Index - Good Forex Broker For No Commissions
Forex Panel Score
66
Average Spread
EUR/USD = 0.7
GBP/USD = 1.1
AUD/USD = 1.6
Trading Platforms
MT4, City Index Trading Platform, TradingView
Minimum Deposit
$150
Visit Broker
Why We Recommend City Index
City Index is our top choice for no-commission trading. Spreads averaged 0.7 pips on EUR/USD, 1.1 for EUR/GBP and 1.1 for GBP/USD with their standard account which are all very competitive. We also like their trading platform – City Index Platform, which includes unique tools to improve your trading along with MT4 and TradingView.
Combining the low spreads with a small initial deposit of $150 makes City Index accessible if you want to break into forex trading on a smaller budget.
Pros & Cons
- Performance analysis tools
- Decent educational resources like webinars
- Negative balance protection
- Limited product range on MT4
- No RAW spread account
- No MT5
Broker Details
Owned by the NYSE-listed StoneX group, who also own Forex.com, City Index is a top choice for beginners in forex trading, mainly because of its low spread-only accounts and beginner-friendly features. If you are a new trader, starting with a broker that makes learning and trading simple is key, and City Index does just that.
One advantage of City Index is its low spreads, starting at just 0.7 for EUR/USD, among the lowest compared to other UK brokers. This means you pay less for each trade, a real benefit when you’re just starting and trying to keep costs down. Plus, the low initial deposit of $150 to open an account is significant for beginners who might not want to commit much money immediately.
The broker provides their own Web Trader trading platform, with charting tools with a good selection of indicators and easy-to-use risk management tools like the guaranteed stop loss order. We like their performance analysis tool, which lets you easily track your trading data and act as a performance coach to help your trade better.
10. FxPro - Great UK Based Customers Services
Forex Panel Score
61
Average Spread
EUR/USD = 1.32
GBP/USD = 1.7
AUD/USD = 1.95
Trading Platforms
MT4, cTrader FxPro Web Trader
Minimum Deposit
$100
Visit Broker
Why We Recommend FxPro
FxPro has exceptional customer service that answered my technical questions quickly and gave solid reasoning, highlighting that the representative was knowledgeable. The broker provides customer service through live chat, email, and phone, making reaching out to them immediately easy.
FxPro provides a good trading experience with a selection of popular trading platforms and decent trading fees, including variable or fixed spreads and commission-based trading.
Pros & Cons
- Low spreads on cTrader
- Offers excellent market analysis
- Great customer service available
- Wider spreads if you don’t use cTrader
- Has a minimum deposit
- Has inactivity fees
Broker Details
In our testing for the top forex brokers in the UK, FxPro provided the best customer service overall, with prompt and knowledgeable responses available via live chat, email and phone. We like to test the customer service of all the brokers because we know if something goes wrong while you have a position open – chaos can happen.
FxPro also provides an excellent overall trading experience with various platforms, including MetaTrader 4 and 5, FxPro Platform and cTrader. They are all similar, and the main difference is the user interfaces and accessibility to customised tools; only the FxPro platform prevents you from using custom indicators and automated trading.
How Do The Best Forex Brokers UK Compare?
Below, We have compiled our testing into a table for you to review how the best forex brokers in the UK compare with each other.
Broker | Spread (avg with 5 major pairs) | Range of Products | Minimum Deposit | Spreadbetting Allowed |
---|---|---|---|---|
Pepperstone | 1.40 | 1,200+ | $0 | Yes |
OANDA | 0.70 | 80+ | $0 | Yes |
eToro | 1.30 | 3,000+ | $500 | No |
Plus500 | 1.86 | 11,000+ | $100 | No |
Eightcap | 1.06 | 650+ | $100 | No |
IG Group | 1.38 | 17,000+ | $0 | Yes |
CMC Markets | 1.36 | 12,000+ | $0 | Yes |
XTB | 1.36 | 2,000+ | $0 | Yes |
City Index | 1.24 | 4,600+ | $150 | Yes |
FxPro | 1.62 | 2,100+ | $100 | Yes |
Which Are The Most Trusted Forex Brokers In The UK?
The most trusted forex brokers in the UK are OANDA, Pepperstone and IG Group, who all have multiple licences from Tier-1 regulators across the globe. OANDA is our most trusted broker overall being regulated by the Financial Conduct Authority (FCA) in the United Kingdom and four other tier-1 regulators in different jurisdictions.
Being regulated by multiple authorities means OANDA must follow strict frameworks set by the regulator to ensure the broker can protect the customer’s interests while providing a reliable financial service.
Why Is The Financial Conduct Authority (FCA) Important For Forex Traders In The UK?
The Financial Conduct Authority (FCA) is essential for forex traders in the UK because it ensures every forex broker they regulate meets the high standards set to provide financial services to retail traders.
These standards ensure your funds are kept safe and trading in a fair market. Without authorisation from the FCA, no forex broker can legally provide financial services in the UK.
How to verify FCA Authorisation
The easiest way to verify if the FCA authorises a forex broker is to look at the bottom of the broker’s website, which shows you the broker’s FCA license number. If a broker does not have one, they are not regulated by the FCA, as this is a requirement for all CFD brokers to display their license on all promotional material (including websites).
How Can You Trade Forex In The UK?
To trade forex in the UK, you must open an account with a forex broker and use an online trading platform to place your trades. You can choose a live account that risks your funds or practise on a risk-free demo account.
If you want to make money, open a live account, which involves filling out your details and depositing funds. Once live, you can use a trading platform like MetaTrader 4 to place your trades. Before making a deposit, keep an eye out for any deposit or withdrawal fees.
How Do I Pick The Best Broker In The UK?
Picking the best broker in the UK for currency trading involves considering several key factors that match your trading needs and preferences.
1. Research Regulated Brokers
When looking for a broker, you must research regulated brokers, which provides the foundation of your search. Fortunately, forex brokers are legally required to be regulated by the FCA in the UK.
2. Currency Pairs and Other Instruments
A good broker should offer various foreign exchange currency pairs and other trading instruments like indices, shares and commodities. More options mean more opportunities to trade in different markets. For example, if you’re interested in major currency pairs like EUR/USD or exotic pairs, check if the broker offers these.
Also, look for brokers that provide access to commodities, stocks, and indices, which can diversify your trading portfolio.
3. Forex Trading Spreads And Costs
Spreads and costs are critical in forex trading as these can directly impact your profit and loss, so it is essential to have low spreads. A spread is the difference between a currency pair’s buy and ask price; the lower the spreads are, the less it’ll cost you for each trade.
We think an ideal spread is below one pip on EUR/USD, but you should also consider brokers that charge commissions, as these have lower spreads and even zero spreads (aka 0.0 pips). Ensure the commission isn’t over $9; otherwise, there isn’t a difference between paying commission or spread-only.
Also, consider what type of spreads you need. Variable spreads are lower and more common but can change due to liquidity in the market and market conditions placing you at risk of slippage (especially in periods of high volatility).
The other type of spread is a fixed spread which is popular for scalping since scalpers rely on predictable prices.
4. Trading Platforms and Analysis Tools
Look for a broker that offers user-friendly trading platforms and analysis tools; ideally, check to see if they have MetaTrader 4 or TradingView. Both platforms provide all the tools you’ll need to perform technical analysis and execute your trades from the platform.
5. Leverage
Leverage is essential when picking a forex broker as it allows you to trade larger amounts with smaller capital, increasing potential profits (and risk). UK forex brokers offer retail trading accounts up to 1:30 in leverage on forex majors, and the FCA caps the leverage to protect your accounts from overleveraging.
Leverage is lower with retail investor accounts because it is a high-risk instrument. Professional traders who wish to trade with higher leverage, up to 1:500 can do so if they meet certain qualifying conditions. This is because professional traders are considered to be educated in how to trade on margin and the risk associated with it.
6. Deposit Methods and Minimum Deposits
You should review the deposit methods and minimum deposits by the forex broker, as they can meet the above requirements but require a high minimum deposit (not ideal). Most brokers in the UK offer a range of deposit methods; the most popular are bank transfer and debit card depositing; however, some brokers also take e-wallets like Skrill and PayPal.
Ideally, you want a broker with no minimum deposit requirements, as this allows you to deposit or top up your account with the funds when needed without having to “over-deposit”.
7. Test Demo Accounts
Before opening a live account with a broker, We like to test demo accounts first. This lets you see how the broker performs with its price feed and trading fees without depositing your funds. You also get to test out the trading platform to see if it suits your needs.
You’ll also be able to see the account management section and familiarise yourself with the funding and customer services available, an excellent method of getting a feel for the broker.
8. Customer Service
Look for brokers that offer quick and helpful customer service through live chat, email, or phone support. You should always test a broker’s customer support with live chat and call them with technical questions to gauge how well they may perform when you need a problem resolved.
Which Is The Best Forex Broker In The UK?
The Best Forex Broker in the UK is Pepperstone, which provides a solid overall service with low spreads on the most popular markets and quality trading platforms.
When testing Pepperstone for its spreads, We were impressed with the average spread on its RAW accounts, which was 0.1 pips for EUR/USD, and the commission is only £4.50 per lot round-trade.
Our spreads module below captures the average spreads from RAW spread accounts broker publish on their website. As can be seen, Pepperstone has among the best spreads.
ECN Broker Spreads | |||||
---|---|---|---|---|---|
0.40 | 0.60 | 0.10 | 0.40 | 0.20 | |
0.20 | 0.30 | 0.10 | 0.30 | 0.20 | |
0.20 | 0.30 | 0.20 | 0.40 | 0.20 | |
0.20 | 0.83 | 0.44 | 0.40 | 0.42 | |
0.24 | N/A | 0.17 | 0.54 | 0.30 | |
0.30 | 1.10 | 0.10 | 0.60 | 0.50 | |
n/a | 0.60 | n/a | 0.60 | 0.50 | |
0.30 | 0.50 | 0.20 | 0.60 | 0.30 |
Avg. spreads are taken from each broker's website and updated monthly. Last update on 02/01/2024
Which Forex Broker Has The Best Trading App?
The Forex broker that has the best trading app is Plus500, which is an app that fits everything you need to trade the markets on your mobile. We found the platform was fluid, and the tools I needed were easy to access, offering a solid mobile trading experience.
The mobile app, available on iOS and Android, has tools to help trade on the go more easily. One tool is setting market alerts that notify you within the app and via e-mail. We like utilising these to time our trades better.
Charting is basic, directly covering buy and sell orders in the chart with access to drawing tools and technical indicators. The Plus500 app has one of the largest choices of indicators available, showing over 100+ indicators, which is more than some desktop platforms offer.
Which Broker Is Best For MetaTrader 4?
Pepperstone is the best broker for MetaTrader 4, providing additional tools, like Capitalise.ai, which allows you to build your own automated strategies without code. However, the core reason why Pepperstone is best for MetaTrader 4 is that it has the fastest execution speeds we’ve tested.
With MT4 being a third-party tool, it is expected to have slower execution speeds for brokers, as they require an extra connection to the broker. This is not the case with Pepperstone, which is an impressive feat.
Our tests identified Pepperstoneas as having the fastest average market order execution speed, with an exceptional 85ms – practically instant on MT4 platforms.
Which Broker Has The Best Copy Trading Tools?
eToro is the best broker for copy trading tools thanks to its intuitive CopyTrader platform, which makes it effortless to copy profitable traders. With CopyTrader, you can filter traders based on your metrics, including markets, draw-down tolerance, and frequency of trades.
eToro has over 300,000 traders you can copy from, so filtering down the traders that meet your requirements is a must. We like that once you have chosen your trader to copy, the CopyTrader platform will automatically open and close trades at the same time your trader does. So, it would be best if you found a trader that meets your goals, and eToro will do the rest for you.
Which Forex Broker In The UK Has The Lowest Spreads?
OANDA has the lowest spreads for Standard Accounts, and Pepperstone has the lowest spreads for RAW accounts.
Standard Account No Commission Trading
We captured the average spreads brokers publish on their website and then found the overall average by combining the five major pairs (EUR/USD, USD/JPY, GBP/USD, AUD/USD, USD/CAD) to get an overall average.
OANDA came out on top with an overall average of 0.70 pips, far exceeding the industry average of 1.52 pips.
Most Traded Average | Standard Spread | ||
---|---|---|---|
Broker | Major Pair Average Spread | Broker | Major Pair Average Spread |
OANDA | 0.70 | Pepperstone | 1.40 |
IC Markets | 0.76 | Blackbull Markets | 1.42 |
Fusion Markets | 0.99 | HugosWay | 1.42 |
Admirals | 1.04 | Blueberry Markets | 1.46 |
Eightcap | 1.06 | Saxo Markets | 1.48 |
Go Markets | 1.08 | AccuIndex | 1.50 |
OctaFX | 1.10 | MultiBank Group | 1.54 |
TMGM | 1.16 | Vantage FX | 1.54 |
FIBO Group | 1.18 | FXCM | 1.60 |
Trading212 | 1.22 | Tickmill | 1.60 |
ThinkMarkets | 1.22 | FxPro | 1.62 |
Axi | 1.24 | Axiory | 1.62 |
City Index | 1.24 | Forex.com | 1.66 |
HYCM | 1.24 | Fair Markets | 1.70 |
eToro | 1.30 | XM | 1.72 |
FP Markets | 1.30 | HF Markets | 1.76 |
Trading.com | 1.30 | Markets.com | 1.78 |
CMC Markets | 1.35 | Plus500 | 1.86 |
Exness | 1.36 | Swissquote | 1.92 |
XTB | 1.36 | Roboforex | 1.94 |
IG | 1.38 | TradersWay | 2.04 |
RAW Spread Trading
Ross Collins of The CompareForexBrokers team conducted tests using demo accounts to see what the spreads are like using the EUR/USD pair. He found that the Pepperstone Razor account is the best FCA-regulated broker for the EUR/USD pair, with an average of 0.36 pips over 24 hours.
Tested Raw Spreads | |||
---|---|---|---|
Broker | EUR/USD | Broker | EUR/USD |
Fusion Markets | 0.22 | ThinkMarkets | 0.46 |
City Index | 0.25 | Tickmill | 0.47 |
IC Markets | 0.32 | Eightcap | 0.5 |
TMGM | 0.32 | Axi | 0.73 |
Pepperstone | 0.36 | CMC Markets | 0.73 |
FP Markets | 0.41 | Admirals | 0.79 |
Blueberry Markets | 0.43 | BlackBull Markets | 0.94 |
GO Markets | 0.46 |
Which Broker Is Best For Beginners?
The best broker for beginners is OANDA, thanks to its simple-to-use OANDA TRADE trading platform and enhanced risk management and performance analysis tools. You can use these tools for free with a live and demo account.
FAQ
Which Platform Is Best For Forex Trading In The UK?
The best platform for forex trading in the UK is MetaTrader 4, which is very popular with beginner and experienced traders. MetaTrader 4 is available with most brokers and allows you to build custom indicators and bots for automation functionality with your trades using Expert Advisors. These tools are unavailable on other platforms, so MetaTrader 4 has a broader appeal.
Which UK Forex Broker Has The Tightest Spreads?
The UK forex broker with the tightest spreads is Pepperstone on their RAW account; based on our tests, they had an average of 0.1 pip spread. Low-spread forex brokers lower your trading costs overall, saving you money long-term and boosting your profits. Spreads are low because the broker has no dealing desk allowing to offer ECN-like pricing.
Is Forex Trading Legal In The UK?
Forex trading along with CFD trading is legal in the UK and is regulated by the Financial Conduct Authority (FCA), which authorises all forex brokers to provide financial services to retail traders.
How Do I Choose A UK Forex Trading Platform?
To choose a UK forex trading platform, you should go through the options your broker offers; most commonly, they’ll be MetaTrader 4, MetaTrader 5, or TradingView. Ensure the forex trading platform has the indicators and tools your forex trading strategy requires.
You can use a demo account to access these trading platforms and play with the tools and settings on the platform. We think it’s the best way to see which is best.
Will UK Forex Brokers Keep My Funds Safe?
All UK Forex brokers will keep your funds safe through security methods like encryption and segregation of your funds from the broker’s own capital. Brokers must have segregated accounts, a rule set by the FCA to protect client funds if the broker is having financial problems, ensuring your funds are safe.
Should anything go wrong, all trading accounts are protected by the Financial Services Compensation Scheme (FSCS).
As a Forex Trader, What Taxes Will I Pay As A Trader?
As a forex trader in the UK, you’ll have to pay Capital Gains Tax, a tax you pay on your profits. How much you pay depends on your personal circ*mstances, but because you have to pay the tax, you can write off your losses against the profits – reducing your tax liability.
Alternatively, you could use spread betting, which doesn’t pay capital gains tax, saving you money on your winnings, but you cannot write these off.
Can You Trade Crypto In The UK?
As a retail trader, you cannot trade cryptocurrencies as CFDs. This Financial Conduct Authority introduced a ban on crypto derivatives in February 2024. CFD Traders who qualify for a Professional trading account however can continue to trade crypto CFDs.
What does CFD stand for?
CFD is short for ‘Contracts For Difference’, which is a form of derivatives trading. Trading CFD is a means to trade the price movement of financial markets such as the Forex markets without owning the underlying asset.
Conclusion On Who We Rated The UK Best Forex Broker
Our testing of the best brokers found Pepperstone to be the 2024 best broker based on our execution speed tests, published low spreads and forex trading platform range offered. Based on their published lowest average spreads, we gave the broker the maximum score for trading fees.
We also gave the best rating score for their trading platform because they offer the choice of the four best forex trading apps (MT4, MT5, cTrader and TradingView), and they achieved the top score for the trading environment because our testing on demo accounts showed their execution speeds were the fastest of all UK brokers. Finally, the broker also scored well for their award-winning customer service and trust making them the best ‘well-rounded’ UK forex broker for currency and CFD trading.
Pepperstone ReviewVisit Pepperstone
Forex Regulation In The United Kingdom
The recommended UK forex brokers on this page are listed on the Financial Conduct Authority FCA register. It was called the Financial Services Authority (FSA) before 2013, after which the Banking Reform Act reformed the authority. As part of Europe, Great Britain follows the ESMA guidelines on CFDs, spread betting and Forex Trading.
You can view the complete list of FCA-regulated brokers at the bottom of this page. The authority is independently formed by the government and funded by membership fees. The FCA requires UK FX brokers to hold a minimum of £1 million in operating capital in the UK. It may increase based on a formula aligned to the number of traders an FX broker has. Other requirements include the following:
- Segregating UK client accounts from brokers so they can’t use them for operational expenditures.
- Instantly processing withdrawal requests
- Submitting annual audited reports to the FCA
- Submitting periodic statements showing capital holdings to meet capital ratio requirements
- Complying with strict regulations surrounding marketing materials that advertise the brokers’ financial products
- Resolving customer complaints and allowing any failed resolutions to be arbitrated by the UK Financial Ombudsman
The FCA has a compensation scheme to protect forex broker UK client funds. It is called the Financial Services Compensation Scheme (FSCS). The objective of the FSCS is to compensate CFD traders when a broker comes into insolvency issues, offering protection up to £50,000. When insolvency and liquidation issues occur, the FSCS provides CFDs traders with:
- 100% of funds back up to £30,000
- Up to 90% of funds back for amounts between£30,000 to £50,000
A CFD trader must make an insurance claim through the Financial Services Compensation Scheme website to submit a claim. Traders should ensure the firm is listed on the FSCS website, as compensation is only available when the body deems the broker’s assets are frozen or in liquidation. To avoid dealing with a scam broker, UK residents are strongly recommended to choose an FCA-regulated broker. It may also be worth keeping up-to-date with the regulator’s website, as brokers can have their Financial Conduct Authority licence revoked. This recently occurred in the UK, with FXTM losing their FCA licence.
New FCA Regulation In 2024
Traders should note that the FCA banned Cryptocurrency CFDs. Any regulated broker in the United Kingdom no longer offers crypto classes like Bitcoin. Cryptocurrencies are also banned for traders who choose spread betting.
FCA Regulated Forex Broker List
Based on factors such as forex market range, currency trading conditions, forex fees, and customer service, we created the finalised list based on brokers regulated by the FCA. The top UK forex broker table was last revised in February 2024 and is regularly updated based on CFD providers that gain or lose an FCA licence. Other brokers, such as OANDA, Saxo Bank and VT Markets, were considered in this review and may be featured on our other UK comparison page. There are also brokers regulated by CySEC that appear on other comparisons.
The comprehensive FCA broker is below.
UK Broker | Licence Number | Minimum Deposit | Max Retail Leverage | Max Professional Leverage | EUR/USD Spreads From | Trustpilot Broker Reviews | Traders Lose Money |
---|---|---|---|---|---|---|---|
Pepperstone Limited | FCA 684312 | £50 | 30:1 | 500:1 | 0.0 | 4.6/5 - 508 reviews | 77.60% |
Swissquote Ltd | FCA 562170 | €1000 | 30:1 | 400:1 | 1.0 | 2.6/5 - 10 reviews | 85.76% |
eToro (UK) Ltd | FCA 583263 | $200 | 30:1 | 400:1 | 3 | 2.3/5 - 1,670 reviews | 79% |
IG Markets Limited | FCA 195355 | £250 | 30:1 | 222:1 | 0.6 | 4/5 - 2,460 reviews | 77% |
City Index | FCA 113942 | £100 | 30:1 | 400:1 | 0.5 | 1.9/5 - 60 reviews | 75% |
Abshire-Smith Global Ltd | FCA 590890 | £500 | 30:1 | 200:1 | 0.8 | 75% | |
Activtrades Plc | FCA 434413 | £1000 | 30:1 | 400:1 | 0.5 | 4.6/5 - 572 reviews | 85% |
Admiral Markets UK Ltd | FCA 595450 | €100 | 30:1 | 500:1 | 0.7 | 3/5 - 9 reviews | 77% |
ADS Securities London Limited | FCA 577453 | £100 | 30:1 | 500:1 | 0.9 | 72% | |
AxiTrader UK | FCA 509746 | £0 | 30:1 | 30:1 | 0.2 | 3.8/5 - 9 reviews | 82.40% |
City Credit Capital (UK) Ltd | FCA 232015 | $500 | 30:1 | 100:1 | 3 | 66.52% | |
CMC Markets UK plc | FCA 173730 | £0 | 30:1 | 500:1 | 0.7 | 4.6/5 - 573 reviews | 79% |
Equiti Capital | FCA 528328 | $500 | 50:1 | 500:1 | 0.4 | 3.3/5 - 3 reviews | 73.07% |
ETX Capital | FCA 124721 | £100 | 30:1 | 200:1 | 0.6 | 4.2/5 - 87 reviews | 68.61% |
FCI Markets | FCA 616985 | $1000 | 30:1 | 400:1 | 0.2 | 83.33% | |
FOREX.com UK | FCA 113942 | £50 | 30:1 | 200:1 | 0.8 | 2.8/5 - 17 reviews | 73% |
FXCM Ltd | FCA 217689 | £300 | 30:1 | 400:1 | 0.7 | 3.6/5 - 17 reviews | 71% |
IronFX | FCA 585561 | $100 | 30:1 | 500:1 | 0.5 | 3.2/5 - 3 reviews | 71.81% |
FXOpen UK | FCA 579202 | €300 | 30:1 | 500:1 | 0.3 | 3.9/5 - 5 reviews | 60% |
FxPro UK Limited | FCA 509956 | £100 | 30:1 | 500:1 | 1.5 | 3.4/5 - 85 reviews | 84.69% |
Hantec Markets | FCA 502635 | €1000 | 30:1 | 400:1 | 1.8 | 3.7/5 - 117 reviews | 68.40% |
Hirose Financial UK Ltd | FCA 540244 | £20 | 30:1 | 100:1 | 1.9 | 61% | |
House of Borse Limited | FCA 631382 | $5000 | 30:1 | 200:1 | 0.3 | 75% | |
HYCM Ltd | FCA 186171 | $100 | 30:1 | 200:1 | 1.8 | 2.9/5 - 21 reviews | 74% |
ICM Capital Limited | FCA 520965 | £200 | 30:1 | 200:1 | 1.3 | 2.6/5 - 4 reviews | 71.31% |
Interactive Brokers (UK) Ltd | FCA 208159 | £0 | 33:1 | 33:1 | 0.2 | 3.9/5 - 197 reviews | 69.00% |
InterTrader Limited | FCA 597312 | £380 | 30:1 | 400:1 | 0.6 | 3.2/5 - 1 review | 72% |
Kerford Investments (UK) Limited | FCA 193030 | $1000 | 30:1 | 200:1 | 1.0 | 74% | |
Key To Markets Limited | FCA 527809 | €100 | 30:1 | 500:1 | 0.1 | 71% | |
London Capital Group (LCG) | FCA 182110 | £0 | 30:1 | 200:1 | 0.3 | 2.3/5 - 13 reviews | 70% |
OANDA Limited | FCA 542574 | €0 | 30:1 | 100:1 | 1.1 | 3/5 - 28 reviews | 76.60% |
One Financial Markets | FCA 466201 | £0 | 30:1 | 400:1 | 1.0 | 82.40% | |
FXStat | FCA 537787 | £500 | 30:1 | 100:1 | 0.1 | 75% | |
Plus500 UK | FCA 509909 | £100 | 30:1 | 300:1 | 0.6 | 4.3/5 - 904 reviews | 73% |
Price Markets UK | FCA 725804 | $500 | 30:1 | 400:1 | 0.0 | 64.40% | |
TS Capital | FCA 447281 | £50 | 30:1 | 500:1 | 1.1 | 78% | |
TeraFX UK | FCA 564741 | $100 | 30:1 | 500:1 | 0.6 | 59.34% | |
ThinkMarkets | FCA 629628 | £0 | 30:1 | 500:1 | 0.4 | 2.9/5 - 28 reviews | 60.30% |
Tickmill | FCA 717270 | £100 | 30:1 | 500:1 | 0.1 | 4.5/5 - 116 reviews | 76% |
Valbury Capital Limited | FCA 540418 | $15000 | 30:1 | 100:1 | 0.3 | 68% | |
Valutrades Limited | FCA 586541 | £0 | 30:1 | 500:1 | 0.0 | 60% | |
Vantage FX | FCA 590299 | £200 | 30:1 | 500:1 | 0.0 | 3.7/5 - 7 reviews | 76% |
VARIANSE | FCA 802012 | £500 | 30:1 | 400:1 | 0.0 | 58% | |
XTB Limited | FCA 522157 | £250 | 30:1 | 500:1 | 0.1 | 4.3/5 - 145 reviews | 82% |
FXTM | FCA 777911 | ||||||
Exness | FCA 730729 | ||||||
Velocity Trade | FCA 497263 | ||||||
Sucden Financial | FCA 114239 | ||||||
TIO Markets | FCA 488900 | ||||||
Cresco FX | FCA 764353 | ||||||
CIX Markets | FCA 232015 | ||||||
CPT Markets UK | FCA 606110 | ||||||
Markets.com | FCA 607305 | ||||||
Saxo Bank | FCA 551422 | ||||||
SVK Markets | FCA 616032 | ||||||
EVFX | FCA 470325 | ||||||
Abshire Smith | FCA 590890 | ||||||
Land FX | FCA 709866 | ||||||
Core Spreads | FCA 525164 | ||||||
Blackwell Global | FCA 687576 | ||||||
ADS Securities | FCA 577453 | ||||||
HFM | FCA 801701 | ||||||
Trading.com | FCA 705428 | ||||||
ATFX | FCA 750501 |
CFD and Spread Betting involve complex instruments. In volatile markets, the combination of leverage creates a high-risk environment. Volatility can lead UK clients to lose money quickly. Many retail investor accounts lose money when trading CFDs, which can be viewed in each broker’s disclaimer. Understanding how CFDs work before enteringhighly leveraged, high-risk positions is critical. Ensure you understand the risks of CFDs and spread bets and can afford to lose your money when you trade.
About the author:
Justin Grossbard
Having traded since 1998, Justin is the CEO and Co-Founded CompareForexBrokers in 2004. Justin has published over 100 finance articles from Forbes, Kiplinger to Finance Magnates. He has a Masters and Commerce degree and has an active role in the fintech community. He has also published a book in 2023 on on investing and trading.
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