If you’re looking for a trustworthy forex broker in the UK, you’re in the right place. Our team has reviewed a variety of brokers that are fully authorised to serve UK traders. Below, we’ve highlighted key aspects like platform quality, reliability, and other important factors that can help you choose the right broker with confidence.
74-89 % of retails CFD accounts lose money
73.85 % of retails CFD accounts lose money
59.57 % of retails CFD accounts lose money
Trading leveraged product is risky
74-89% of retails CFD accounts lose money
75.5 % of retails CFD accounts lose money
The vast majority of retail client accounts lose money
82 % of retails CFD accounts lose money
Forex Broker | Trustpilot Reviews | |
3,903 | ||
289 | ||
4,141 | ||
149 | ||
1,737 | ||
28,170 | ||
16,589 | ||
8. FXCM | 704 | |
8,048 | ||
2,452 | ||
Forex Broker | EURUSD | USDJPY | EURGBP | GBPUSD |
1.01 avg (Classic) | 1.17 avg (Classic) | 1.29 avg (Classic) | 1.14 avg (Classic) | |
0.96 avg (Standard) | 1.47 avg (Standard) | 1.19 avg (Standard) | 1.12 avg (Standard) | |
0.85 av.spread | 1.97 av.spread | 1.40 av. spread | 1.40 av.spread | |
4. FXCM | 1.3 | 1.4 | 2.3 | 1.7 |
5. Spreadex | from 0.6 | from 0.7 | from 0.9 | from 0.9 |
0.7 | 1.2 | 1.0 | 1.3 | |
0.8 | 0.8 | 1.5 | 0.8 | |
1 | 1.0 | 1.5 | 2.0 | |
1.2 | 1.3 | 1.1 | 1.3 | |
1.4 | 2.2 | 1.5 | 1.9 |
Forex Broker | Commission per lot |
$0 | |
$0 | |
$1 or $2 (stocks only) | |
$0 | |
5. FXCM | $0 |
6. Spreadex | $0 |
$0 Classic Account, $4.50 round turn on Zero Account | |
$0 Standard Accounts; $7 round turn on Raw Accounts | |
$0 on Standard Account; $7 round trip on Pro Account | |
$0 Ultra Low Micro and Ultra Low Standard Accounts; $3.50 per side XM Zero Account |
Important Note: If you’re trading from the UK, you’re protected by brokers that are licensed by the Financial Conduct Authority (FCA). This means your funds must be kept separate from the broker’s own money, and you’re guaranteed negative balance protection if you’re a retail trader. FCA-regulated brokers also have to meet strict standards designed to protect you. To learn more, visit the FCA’s official website at www.fca.org.uk, and consider following @TheFCA on X (formerly Twitter) for updates.
Fusion Markets Broker Details | |
Regulators | ASIC, FSA (Seychelles), VFSC (Vanuatu) |
Min Deposit | $0 |
Trading Platforms | MetaTrader4, MetaTrader5, cTrader, DupliTrade, Fusion+ Copy Trade, TradingView |
Trustpilot Rating | 4.7 out of 3,162 reviews |
Number of CFD Forex Pairs to Trade | 80+ |
Leverage | Forex & Metals CFDs: 1:30 (1:500 for forex and metals via VFSC) Index CFDs: 1:5 Cryptocurrencie CFDs: 1:2 (ASIC), 1:10 (FSA, VFSC) |
Spread | EURUSD: 1.01 avg (Classic) USDJPY: 1.17 avg (Classic) EURGBP: 1.29 avg (Classic) GBPUSD: 1.14 avg (Classic) |
Forex Commission per Lot per Trade | $0 Classic Account, $4.50 round turn on Zero Account |
Deposit Methods | Visa, Mastercard, PayPal, Skrill, Neteller, Fasapay, Jeton Wallet, Perfect Money, Online Naira, Doku, Bitcoin, Ethereum, Litecoin, USDT, Tether, Ripple, bank wire, ZotaPay, VNPay, DuitNow, XPay, DragonPay, VAPay, FasaPay, AstroPay, PayID, Jetonbank, Sticpay, Interac, LuqaPay, Zotapay, MiFinity |
Withdrawal Methods | Visa, Mastercard, Bank Wire, Skrill, Neteller,Bitcoin, Ethereum, Litecoin, Tether, Ripple, MiFinity, Interac, PayPal, AstroPay, Jetonbank, DragonPay |
Fusion Markets was started back in 2017 by a group of Australian traders who really knew their stuff. Since then, it’s become a go-to choice for traders around the world. While lots of brokers talk about low spreads, Fusion Markets has actually proven it—earning the “Lowest Spread Forex Broker” award from BrokerChooser four years in a row.
What really makes them stand out, though, is how affordable they are. The commission is just $2.25 per lot (that’s $4.50 for a full trade), which is great if you’re trying to keep your trading costs down.
They also take regulation seriously. Fusion Markets is licensed by a few major authorities, including ASIC in Australia (Licence No. 385620), the Seychelles FSA, and regulators in Vanuatu. If you’re trading under ASIC, you also get negative balance protection—so your losses can’t go beyond your account balance.
There’s no minimum deposit to get started, and they support popular platforms like MetaTrader 4, MetaTrader 5, and cTrader. On top of all that, they’ve got a 4.7 out of 5 rating on Trustpilot, with over 1,300 people leaving glowing reviews. Safe to say, they’ve built a solid reputation.
Global Prime Broker Details | |
Regulators | ASIC (No. 385620), VFSC (No. 40256) |
Min Deposit | $0 |
Trading Platforms | MT4, MT4 Webtrader, MT4 Android; for VFSC clients MT4, MT5, and GP Copy |
Trustpilot Rating | 4.6 out of 247 reviews |
Number of CFD Forex Pairs to Trade | 56 |
Leverage | Forex & Metals CFDs: 1:500 (1:30 for ASIC entity) Index CFDs: 1:100 (1:20 for ASIC entity) Cryptocurrencie CFDs: Up to 1:2 (ASIC); Up to 1:5 (Pro and VFSC) |
Spread | EURUSD: 0.96 avg (Standard) USDJPY: 1.47 avg (Standard) EURGBP: 1.19 avg (Standard) GBPUSD: 1.12 avg (Standard) |
Forex Commission per Lot per Trade | $0 Standard Accounts; $7 round turn on Raw Accounts |
Deposit Methods | Visa, Mastercard, PayPal, Skrill, Neteller, Gate8, Dragonpay, Fasapay, VNPay, Pagsmile, BPay, POLi, AstroPay, Bank Transfer, Interac, Perfect Money, PayID, Jeton, MiFinity, XPay, Crypto |
Withdrawal Methods | Mastercard, Visa, Local Bank Transfer, Bank Wire Transfer, Skrill, Neteller, AstroPay, PayPal, Dragonpay, Perfect Money, Jeton, Interac, Cryptocurrencies |
Global Prime has been offering low-cost, reliable trading services since 2010. It’s regulated by financial authorities in both Australia and Vanuatu, giving traders a level of oversight that adds confidence. The broker gives access to over 150 tradable instruments, including forex, indices, commodities, bonds, cryptocurrencies, and more than 50 currency pairs. For those using a raw spread account, major forex pairs can start at 0.0 pips, and most trades are executed in around 10 milliseconds.
If you’re trading through their ASIC-regulated branch, you’ll be using MetaTrader 4. However, those under VFSC regulation also get access to MetaTrader 5—and there are plans to support TradingView soon, which is great to see.
What helps Global Prime stand out is its smooth sign-up process, zero fees for deposits and withdrawals, and reliable 24/7 support. These features have earned it a solid 4.4 out of 5 on Trustpilot. That said, there’s still room for improvement. Currently, Global Prime doesn’t offer cent accounts or swap-free (Islamic) accounts, which may be a drawback for some traders. There’s also no compensation scheme in place to protect client funds, which is another area where the broker could do better.
Plus500 Broker Details | |
Regulators | FSA (No.4.1-1/18), FCA (No. FRN 509909), CySEC (No.250/14), FMA (No.47546), SFSA (No. SD039), MAS (No. CMS100648), DFSA (No. F005651), ASIC (No. 417727), BaFin registration, SCB (SIA-F250) |
Min Deposit | $100 |
Trading Platforms | Proprietary, desktop and mobile platforms |
Trustpilot Rating | 4.1 out of 15,556 reviews |
Number of CFD Forex Pairs to Trade | 60+ |
Leverage | Forex & Metals CFDs: 1:30 Index CFDs: 1:20 Cryptocurrencie CFDs: 1:2 |
Spread | EURUSD: 1.4 USDJPY: 2.2 EURGBP: 1.5 GBPUSD: 1.9 |
Forex Commission per Lot per Trade | $0 |
Deposit Methods | Debit Visa/Mastercard, Wire transfer, Apple Pay, Google Pay |
Withdrawal Methods | Debit Visa/Mastercard, Wire transfer, Apple Pay, Google Pay |
Plus500 is a well-known trading platform, used by over 25 million people in around 50 countries. They’re watched over by strict financial groups like the FCA, ASIC, and CySEC, so they’re reliable. What’s more, their main company is on the London Stock Exchange, which makes them even more trustworthy. They mainly do CFD trading, with a lot of choices—over 2,800, Like forex, stocks, indices, commodities, crypto, options, and ETFs. The site is clear and simple to use, so trading is easy. Spreads are tight, and forex trades don’t have extra fees. You can add money using cards, transfers, or e-wallets, and you need a minimum of $100 to begin. Putting in and taking out money is free, but if you don’t use your account for three months, they’ll charge a bit.
IG Broker Details | |
Regulators | ASIC, FCA, DFSA, CFTC, FMA, FINMA, BaFin, MAS, JFSA, FSCA, BMA (Bermuda) |
Min Deposit | $0 |
Trading Platforms | MetaTrader4, L2 Dealer, ProRealTime, IG proprietary software, TradingView, |
Trustpilot Rating | 3.9 out of 7,895 reviews |
Number of CFD Forex Pairs to Trade | 100+ |
Leverage | Forex & Metals CFDs: 1:30 Index CFDs: 1:20 Cryptocurrencie CFDs: 1:2 |
Spread | EURUSD: 0.85 av.spread USDJPY: 1.97 av.spread EURGBP: 1.40 av. spread GBPUSD: 1.40 av.spread |
Forex Commission per Lot per Trade | $0 |
Deposit Methods | Visa, Mastercard, Bank Transfer, Wire Transfer, Visa Electron, Discover, PayPal, Apple Pay, BPAY |
Withdrawal Methods | Visa, Visa Electron, Mastercard, Discover, Bank Transfer |
IG is a broker you can trust. They’re watched over by regulators in a bunch of places like Australia, Singapore, Dubai, the UK, and the US. They let you trade in tons of markets without costing too much – stuff like forex, commodities, crypto, stocks, bonds, and indexes. If you know your stuff, you can also play around with options, bonds, and spread betting. You can even trade interest rates with them.
They don’t charge commissions on forex trades; they mainly make money from spreads. IG is mostly for folks who want to make money off price changes without actually buying anything. They give you lots of CFDs to work with. If you’re into forex, they have all sorts of tricky stuff like turbo warrants, vanilla options, contracts for difference, and barrier options.
IG’s own software is really good and makes trading easy, but you can also hook up to other platforms like MT4 and ProRealTime if you want. Both of those are good for automated trading. Getting money in and out of your account is free. You can use debit/credit cards, bank transfers, and PayPal. Just keep in mind that some of these might not be available where you live. Bank transfers don’t have a minimum deposit.
eToro Broker Details | |
Regulators | FCA, CySEC, ASIC, MFSA, FSRA, FSA, FINRA/FinCEN, AMF, SEC, GFSC |
Min Deposit | $50 or $100 based on country ($10 for the UK, $1 in the US) |
Trading Platforms | eToro Investing, eToro App, TradingView, eToro CopyTrader, Proprietary |
Trustpilot Rating | 4.2 out of 27,550 reviews |
Number of CFD Forex Pairs to Trade | 55 |
Leverage | Forex & Metals CFDs: 1:30 (1:400 advanced leverage at Seychelles entity) Index CFDs: 1:20 (1:100 advanced leverage at Seychelles entity) Cryptocurrencie CFDs: 1:2 (UK, CySEC, ASIC), 1:5 (Seychelles) |
Spread | EURUSD: 1.0 USDJPY: 1.0 EURGBP: 1.5 GBPUSD: 2.0 |
Forex Commission per Lot per Trade | $1 or $2 (stocks only) |
Deposit Methods | eToro Money, Visa, Mastercard, Neteller, PayPal, Skrill, iDeal, Klarna, Bank Transfer, Trustly, Przelewy24 |
Withdrawal Methods | PayPal, Skrill, Visa, Mastercard, Neteller, Trustly, Bank Transfer |
eToro started back in 2007 and now has over 30 million users all over the world. They’re regulated by some of the top financial bodies, such as CySEC, ASIC, and FCA. You can trade all sorts of things there, like 55 currency pairs, over 40 commodities, 20+ stock market indexes, and thousands of stocks. You can even trade crypto, ETFs, and NFTs. If you’re into forex, you’ll like that spreads can be super tight, like just one pip on popular pairs such as EUR/USD. Unlike many others, eToro doesn’t charge commissions on currency trades; it’s all included in the spread. Their own platform is easy to use, whether you’re just starting out or know your way around. Also, eToro stands out because of its social and copy trading platform, which is way better than what other brokers offer.
Axi Broker Details | |
Regulators | ASIC, FCA, CySEC, DFSA, FSA (Saint Vincent and the Grenadines), FMA |
Min Deposit | $0; $5 (EU and UK) |
Trading Platforms | MetaTrader4, MT4 WebTrader, Axi Mobile |
Trustpilot Rating | 4.5 out of 3,793 reviews |
Number of CFD Forex Pairs to Trade | 80 |
Leverage | Forex & Metals CFDs: 1:30 Index CFDs: 1:20 Cryptocurrencie CFDs: 1:2 |
Spread | EURUSD: 1.2 USDJPY: 1.3 EURGBP: 1.1 GBPUSD: 1.3 |
Forex Commission per Lot per Trade | $0 on Standard Account; $7 round trip on Pro Account |
Deposit Methods | Visa, Mastercard, Bank Transfer, Neteller, Skrill, AstroPay, Fasapay, Przelewy24, Boleto, Pix, Bitcoin, Ethereum, Ripple, Litecoin, Tether, Stellar, POLi, iDEAL, Sofort, Giropay |
Withdrawal Methods | Mastercard, Visa, Bank Transfer, Przelewy24, Fasapay, Skrill, AstroPay, Pix, Boleto, Neteller, Bitcoin, Ripple, Ethereum, Litecoin, Tether, Stellar |
Since 2007, Axi has helped 60,000 traders from over 100 countries by offering cheap trading on 290+ instruments in five asset classes. They’re licensed by ASIC (Australia), FMA (New Zealand), and FCA (UK). In Europe, they’re good to go because of a CySEC license. Plus, they’ve got licenses from DFSA (Dubai) and FSA (St. Vincent & the Grenadines), so they’re pretty global. Traders worldwide seem to like them, and there haven’t been any scandals. This broker, based in Sydney, gives customers access to 70+ currency pairs and doesn’t charge commissions on standard accounts for currency trades. Pro and Elite accounts have commissions, but they’re about average for the industry. You can also trade hard and soft commodities, stock indices, cryptos, and stocks at good prices on the MT4 platform. How much you can borrow varies depending on where you live, but some customers can get up to 1:500 leverage. They offer several base currencies for accounts to help traders save on conversion fees. Axi also supports its international customers with a lot of payment options. Just keep in mind that some, like Fasapay and Boleto, are only for certain regions.
BlackBull Markets Broker Details | |
Regulators | FSA (Seychelles) (No. SD045), FMA (No. FSP403326) |
Min Deposit | $0 (Standard) $2,000 (Prime) $20,000 (Institutional) |
Trading Platforms | MetaTrader4, MetaTrader5, TradingView, cTrader, MT WebTrader, BlackBull Shares, BlackBull CopyTrader, BlackBull Trade, BlackBull Invest, ZuluTrade |
Trustpilot Rating | 4.8 out of 1,876 reviews |
Number of CFD Forex Pairs to Trade | 70+ |
Leverage | Forex & Metals CFDs: 1:500 Index CFDs: 1:500 Cryptocurrencie CFDs: 1:500 |
Spread | EURUSD: 0.9 USDJPY: 1.2 EURGBP: 1.7 GBPUSD: 1.2 |
Forex Commission per Lot per Trade | $0 Standard; $6 per lot Prime; $4 per lot Institutional |
Deposit Methods | Visa, Mastercard, Neteller, Airtm, Skrill, Bank Transfer, HexoPay, American Express, POLi, Payment Asia, Help2Pay, FXPay, Fasapay, China Union Pay, Boleto, AstroPay, Beeteller, Bitcoin, Ethereum, Tether, Ripple, Litecoin, Bitcoin Cash, Chainlink, USD Coin, Stellar |
Withdrawal Methods | Visa, Mastercard, Bank Transfer, Airtm, Skrill, Neteller, American Express, POLi, HexoPay, Payment Asia, Help2Pay, FXPay, China Union Pay, Boleto, Fasapay, Beeteller, AstroPay, Bitcoin, Litecoin, Bitcoin Cash, Tether, Ripple, Stellar, Chainlink, Ethereum, USD Coin |
BlackBull Markets started back in 2014 and is a big player because they have tons of stuff to trade—around 26,000 different things! If you’re into forex, they’ve got you covered with over 70 currency pairs, from the majors to the more unusual ones. You can trade these using one of their three ECN account types: Standard, Prime, and Institutional. Plus, you can trade other things like commodities, stocks, indices, and futures there, too. This brokerage has licenses from the FSA (Seychelles) and the FMA. Their trading terms are not too bad, but what you pay depends on the account you choose. If you don’t want to pay any commission, go for the ECN Standard account. Spreads usually start around 0.8 pips, and there’s no minimum to deposit. Now, the ECN Prime and ECN Institutional accounts are better if you know your stuff and trade big volumes. Just a heads up, they charge higher commissions per lot on these accounts. If you’ve got a live account, you can add funds using cards, digital wallets, online banking, bank transfers, or even cryptocurrencies. Putting money in is free, but this brokerage is based in New Zealand and they charge a $5 fee for every withdrawal, no matter how you do it.
easyMarkets Broker Details | |
Regulators | CySEC (license no. 079/07), ASIC (license no. 246566), FSA (license no. SD056), FSCA (54018), and FSC (license no. SIBA/L/20/1135) |
Min Deposit | $25 |
Trading Platforms | easyMarkets Web/Mobile, MetaTrader 4, MetaTrader 5, TradingView |
Trustpilot Rating | 4.3 out of 1,714 reviews |
Number of CFD Forex Pairs to Trade | 95+ |
Leverage | Forex & Metals CFDs: 1:30 Index CFDs: 1:20 Cryptocurrencie CFDs: 1:2 |
Spread | EURUSD: 0.7 USDJPY: 1.2 EURGBP: 1.0 GBPUSD: 1.3 |
Forex Commission per Lot per Trade | $0 |
Deposit Methods | Visa, Mastercard, JCB, Amex, Skrill, Neteller, Fasapay, Sofort, iDEAL, Web Money, BPay, Bank Transfer |
Withdrawal Methods | Visa, Mastercard, JCB, Amex, Skrill, Neteller, Fasapay, Sofort, iDEAL, Web Money, BPay, Bank Transfe |
Since 2001, easyMarkets has become a leading broker, serving all kinds of traders. They’ve got licenses to operate in lots of different places. To keep traders safe, they’re watched over by groups like CySEC (license no. 079/07), ASIC (license no. 246566), FSA (license no. SD056), FSCA (license no. 54018), and FSC (license no. SIBA/L/20/1135). easyMarkets was one of the first to do online trading, introducing cool tools like dealCancellation, Freeze Rate, and Inside Viewer. They offer a few platform options. There’s their own platform, which is simple to use but still has some advanced tools for experienced traders. Plus, you can also use MetaTrader 4 and 5, as well as TradingView. If you wanna trade on your phone, they have an easyMarkets app for both Android and iOS. Many traders like easyMarkets because of the decent spreads and low fees. They have a score of 4.3 out of 5 on Trustpilot, which backs up their good name as a broker. You can start trading with just a $25 deposit, and they take lots of different payment methods.
XM Group Broker Details | |
Regulators | CySEC (license no. 120/10), (ASIC) (ref. no. 443670), FSC Belize (license no. 000261/27), FSC of Mauritius (GB23202700), FSA Seychelles (SD190), DFSA (ref. no. F003484), FSCA (49976), Registrations for EU passporting: - BaFin, CNMV, MNB, CONSOB, ACPR, FIN-FSA (Finland), KNF, AFM, FI |
Min Deposit | $5 |
Trading Platforms | MetaTrader4, MetaTrader5, MT4 WebTrader, MT5 WebTrader, MT4 Multiterminal, XM App |
Trustpilot Rating | 3.8 out of 2,115 reviews |
Number of CFD Forex Pairs to Trade | 50+ |
Leverage | Forex & Metals CFDs: 1:30 Index CFDs: 1:20 Cryptocurrencie CFDs: 1:2 |
Spread | EURUSD: 0.8 USDJPY: 0.8 EURGBP: 1.5 GBPUSD: 0.8 |
Forex Commission per Lot per Trade | $0 Ultra Low Micro and Ultra Low Standard Accounts; $3.50 per side XM Zero Account |
Deposit Methods | Visa, Mastercard. Skrill, Bank Transfer, Neteller, Apple Pay, Google Pay, UnionPay, Maestro |
Withdrawal Methods | Visa, Mastercard, China Union Pay, Skrill, Neteller, Bank Transfer |
XM started back in 2009 and now has over 15 million customers because it gives online traders a great experience. People trust XM because of things like small spreads and good prices. Trading Point of Financial Instruments Ltd runs XM, and it’s watched over by big regulators like CySEC, ASIC, and FSA. Because of its CySEC license, XM can offer services in lots of EU countries, with registrations including BaFIN, CNMV, MNB, CONSOB, and KNF. XM works with MetaTrader 4 and MetaTrader 5 platforms, which you can get on the web, your computer, or your phone. They also have the XM App, which people like and you can find in the App Store and Google Play. It makes trading on your phone easy. They have different accounts like Demo, Standard, Micro, Ultra Low, Zero, Shares, and Islamic, but what’s available depends on where you are. You can trade over 1,400 things like Forex, Stock CFDs, Crypto, Commodities, and Indices. Most accounts only need $5 to start, and that’s also the least you can take out. The only exception is the XM Invest Account, where you need $10,000 to get started. It’s easy to pay because they take bank cards, e-wallets, and bank transfers to manage your XM balance.
ActivTrades Broker Details | |
Regulators | FCA (UK), CMVM (Portugal), CVM (Brazil), SCB (Bahamas), FSC (Mauritius) |
Min Deposit | $0 |
Trading Platforms | ActivTrader, TradingView, MT4, MT5 |
Trustpilot Rating | 4.5 out of 1,460 reviews |
Number of CFD Forex Pairs to Trade | 56 |
Leverage | Forex & Metals CFDs: 1:30 (1:400 Bahamas) Index CFDs: 1:20 (1:200 Bahamas) Cryptocurrencie CFDs: 1:2 (1:20 Bahamas) |
Spread | EURUSD: 0.50 USDJPY: 0.50 EURGBP: 0.80 GBPUSD: 0.80 |
Forex Commission per Lot per Trade | $0 |
Deposit Methods | Visa, Mastercard, PayPal, Apple Pay, Google Pay, Skrill, Neteller, Bank Transfer, Cryptocurrencies |
Withdrawal Methods | Visa, Mastercard, PayPal, Skrill, Neteller, Bank Transfer, Cryptocurrencies |
ActivTrades is a broker that’s been around for more than 23 years. They’re watched over by the FCA, FSC, SCB, CVM, and CMVM. They focus on keeping things secure and prices clear, plus they have small spreads on over 1,100 trading options in six groups. You can trade stuff like shares, indexes, commodities, ETFs, and bonds aside from just forex. You can open accounts in pounds and trade without commissions in all markets. The most leverage for regular customers is 1:30, but those who qualify for professional accounts can get up to 1:400. ActivTrades tries to help its customers by protecting them from going into a negative balance and insuring funds up to $1 million. Actually, ActivTrades was the first UK broker to offer extra insurance beyond the standard $50,000 per client back in 2013. To add money to your account, you can use cards, bank transfers, and e-wallets like PayPal. There’s no minimum to deposit, but there’s a 1.5% charge if you use a credit or debit card.
If you’re in the UK and thinking about forex trading, good news – it’s totally legal. The Financial Conduct Authority (FCA) is the main group watching over forex brokers. They hand out licenses, keep an eye on brokers to make sure they’re not doing anything shady, and make sure everyone plays by the rules. If a broker doesn’t have a license from the FCA, they can’t legally offer their services to UK customers. So, whether you’re a pro or just starting out, double-check that any broker you’re thinking of using is fully regulated. Keep in mind that you might have to pay taxes on your forex trading, depending on a few things. If you’re into spread betting, it might not be taxed in some cases. But if you’re trading CFDs, always remember to think about taxes.
The Financial Conduct Authority keeps an eye on the UK’s financial scene, regulating over 40,000 businesses that deal with UK clients. It started back in 2013, taking over from the old Financial Services Authority (FSA). Right now, Nikhil Rathi is the FCA’s boss, and Ashley Alder leads the FCA Board. Since day one, the FCA has worked hard to protect people, even warning about businesses operating without a license. They’ve also started a couple of programs to teach folks about staying safe with their money. One is called ScamSmart, which is all about spotting scams and investment fraud. The other, InvestSmart, is aimed at investors. Getting an FCA license takes time. First, a business needs to apply and pay a fee. Then, the FCA checks things out, which can take months, depending on the business. They say getting approved can take as long as a year. If a business qualifies, it needs to follow the FCA’s rules, during and after getting licensed.
To double-check a forex broker is licensed by the FCA, use their register. Most good brokers show their FCA license number on their homepage. Just copy that number and paste it into the search box on the FCA site. Then, click “Firms” and then “Search.” If the broker is okay, its name, license number, and address will show up. If you can’t find the license number on the broker’s site, search for the broker’s company name instead and do the same thing. Watch out for a No longer authorized warning. The FCA sometimes cancels licenses. If a broker doesn’t have a current license, don’t use them. Same goes for brokers not in the FCA database at all. Some brokers listed as no longer authorized pulled out of the UK market themselves and gave up their licenses. If you think a broker is trying to get British clients without permission, check the FCA’s list of unauthorized firms.
Forex companies that have a license use a few ways to keep your money safe. First, when you deposit money, it’s kept separate in banks that are watched by regulators. Good brokers also have plans to keep your money safe from those the firm owes if the business closes down. Plus, if a firm closes down, the Financial Services Compensation Scheme (FSCS) can pay clients up to £85,000 if they lose money. This is only for brokers with a license from the FCA. So, it’s very important to be sure your broker is real and watched by regulators. Keep in mind the FSCS usually protects CFD accounts with firms the FCA approves. Spread betting accounts might not be protected, so always check what kind of broker you have.
Okay, so if a forex broker wants to get UK customers, they have to get the thumbs-up from the UK’s Financial Conduct Authority. This means they gotta play by a bunch of rules. One rule is that they have to offer negative balance protection to their regular customers. Basically, if you go with a broker that’s FCA-approved, you’re covered by this safety net. If you don’t know what negative balance protection is, it’s like this: it makes sure you don’t lose more money than you put in. So, if you mess up big time, you won’t end up owing the broker money. Now, if you’re a pro trader, negative balance protection isn’t always a given. It depends on the broker.
Whether you pay tax on forex trading depends on how you trade. If you’re spread betting, you usually don’t have to pay capital gains tax or stamp duty. That’s because you never actually own the asset; it’s technically seen as gambling in the UK. But, this only applies until you make a certain amount, specifically profits under £1,000 are not taxed. If you make profits of more than this, you’ll have to pay capital gains tax. Also, this only works if trading is just a side thing, not your main income. Contracts for Differences (CFDs) are a bit different. Profits from CFDs always have capital gains tax applied. A perk when trading CFDs however, is that you can offset your losses, which you can’t do with tax-free spread betting.
If you’re a regular trader using brokers licensed by the FCA, there are limits to how much you can borrow for trades. Big currency pairs have a borrowing limit of 1:30, and smaller pairs are capped at 1:20. Borrowing a lot can seem attractive because it could make your returns bigger. But remember, your losses can also be huge. When you trade with borrowed money, you can lose more than what you put in at first. That’s why the FCA set these limits. The FCA isn’t the only one doing this. The Australian Securities & Investments Commission (ASIC) has similar rules. Brokers licensed in places such as Cyprus, Europe, and Germany also have to follow these limits. Some places are a bit more relaxed such as Poland which has a limit of 1:100, and the US with 1:50. UK professional traders can borrow much more, up to 1:500 for currency trades, way more than what regular traders can get.
To get a pro account with a UK forex broker, you’ll generally need to meet a couple of requirements. First, you should have made at least ten big trades each quarter for the last year. Also, your investment portfolio has to be pretty big—think over £500,000, says the FCA. Having at least a year of experience as a finance professional also counts. Just a heads-up: switching to a pro account might mean losing some perks you had as a regular client. A big one is that you might not be covered if your account goes into negative balance, so read the fine print.
If you want a pro account with a UK forex broker, there are usually a few boxes you need to tick. For starters, you’ll probably need to show that you’ve made at least ten seriously big trades each quarter over the last year. Your investment pot also needs to be pretty sizable—the FCA says over £500,000. Or, if you’ve worked in finance for at least a year, that works too. Word to the wise: going pro might mean you lose some of the things you had as a standard client. Like, you might not be protected if your account balance dips into the red, so it’s worth reading the small print.
Below you can find some useful references with links to organisations that monitor the forex market in UK.
Think Forex Brokers provides independent comparisons of regulated brokers across forex, stocks, and crypto. Information is for educational purposes only and should not be taken as financial advice. Always verify broker regulation before trading
Copyright © 2025 Think Forex Brokers
