Forex is the largest financial market in the world; as such there are many brokers operating in this field. Figuring out which one is right for you is a confusing but vital process, since your choice of broker can be influential to your success; choosing the wrong one could be financially devastating. This article looks at the key points to consider when making your choice, before offering our list of the 10 best forex brokers in the UK.
The 10 Best UK Forex Brokers & Apps in 2023
There are numerous brokers available and we would always recommend that you conduct your own thorough research and due diligence before making your own personal choice. Although we have listed several brokers below, it should be noted that this is through online research, not personal experience. At WikiJob, we are not financial advisors and any information provided throughout this article is for educational purposes only. Founded in 2007, eToro is considered a very low-risk broker as it is highly regulated by the Financial Conduct Authority (FCA) in the UK and many other regulatory bodies elsewhere. Opening an account is free and you can access a $100,000 demo account to test the system. It offers 47 currency pairs for trading. Spreads for forex trading have recently been significantly reduced and range from a very competitive 1 to 3 pips for major currency pairs. Typical spreads for EURUSD and USDJPY trades, for example, are just 1 pip. You can see the full list of spreads on the eToro website. You’ll need to deposit a minimum of $200 for Copy Trading, eToro’s standout feature which allows you to follow other traders and copy their trades. This forex broker is great for beginners due to its user-friendly interface and app and 24-hour customer support. It allows you to trade currencies, stocks and cryptocurrencies in one portfolio and the Copy Trading system is a great way to learn. The company also offers trading courses and features a Learning Lab which houses a variety of tools to support clients with their trading experience. 80.2% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money. Another user-friendly entry on our list of the best forex and CFD brokers in the UK is Plus500, providing an easy-to-use and accessible service. You’ll find over 60 CFD currency pairs with competitive spreads, no commission and available leverage of up to 1:30. Although MetaTrader and cTrader are not available, Plus500’s own platform is very user-friendly. It comes with a range of intuitive risk management features and is available on web and mobile. Plus500 requires a minimum deposit of £100 if using a credit or debit card, and £500 if using bank transfer. Plus500 UK Ltd authorized & regulated by the FCA (#509909).
Founded in 2010, Pepperstone has been quick to adapt to the social copy trading trend, providing plenty of tools for traders to share and mimic trading styles. With over 1,200 instruments, it offers two account types:
Standard – The Standard account comes with market average spreads and zero commission Razor – This account operates on a commission basis but with exceptionally low spreads
Pepperstone offers TradingView, MT4, MT5 and cTrader platforms, as well as supporting DupliTrade only for copy trading. Pepperstone normally recommends a minimum of $100 to $200 to start trading. Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 78.8% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work and whether you can afford to take the high risk of losing your money. Well worth considering when seeking the best brokers in the UK is XTB, founded in 2002 with an excellent reputation for customer service. It has 48 currency pairs available to trade through two account types:
Standard – Offering market average spreads Pro – Offering much tighter spreads but with added commission
XTB supports the full MT4 suite, and its proprietary platform, xStation 5, offers a user-friendly, intuitive solution that works well on desktop, web and mobile. You’ll need a minimum deposit of £250 to start trading and you’ll find that several educational resources are available, including XTB’s trading academy. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 74% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. It offers a 20% welcome bonus up to $10,000, according to regulation and a free 21-day demo account with $100,000. Instruments include:
Metals Commodities Stocks FX Options Oil ETFs Options Crypto currencies CFDs Indexes Shares Spread betting Indices Forex Bonds
AVATrade EU Ltd is regulated by the Central Bank of Ireland. (No.C53877) Ava Trade Markets Ltd. is regulated by the B.V.I Financial Services Commission. It is also highly regulated in Australia, South Africa, Japan, Middle East, Cyprus and Israel You can not trade with AvaTrade in the US, North Korea, New Zealand, Iran or Belgium. Mínimum deposit of $100, no withdraw limit and no fees.
Its strong points include:
No minimum first-time deposit No commissions Several payment methods for deposits and withdrawals Tight spreads from 0.5 pips
It offers one of the best execution speeds in the industry with low latency below 0.004s. It utilizes the most advanced technology to improve users’ trading efficiency – users can automate trades, build integrations and create trading apps using ActivTrades’ market-leading CFD and spread betting technology. Exceptional trading infrastructure is available on ActivTrader and MetaTrader 4 and 5. ActivTrades invests deeply in specially developed educational materials for its clients – including webinars, regular outlooks, manuals, etc. Type of offers: ActivTrades focuses on well-developed products in its trading portfolio. Customers can choose from over 1,000 CFD or spread betting instruments across forex, indices, shares, commodities, financials and ETFs. It also offers investing solutions for its institutional partners. Spread betting allows UK residents ONLY to trade the prices of financial instruments, including forex, indices, commodities and LSE shares. Spread betting and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when spread betting and/or trading CFDs with this provider. You should consider whether you understand how spread betting and CFDs work and whether you can afford to take the high risk of losing your money As a broker, Vantage Markets is well-regarded and considered safe thanks to regulation by ASIC and the FCA. Vantage Markets offers access to the markets through the popular MT4 and MT5 platforms, and a feature-stuffed mobile app. There are three account types:
Standard STP. Perfect for novices, this is a no-commission account that works across all trading instruments, with a minimum spread of 1.4 pips. The minimum deposit is $200. Raw ECN. Designed for more experienced traders, this account charges commission at $3 per lot per side but the spreads start at 0.0 pips. The minimum deposit is $500. Pro ECN. This is for professional, high volume traders, and offers commission at $2 per lot per side, with spreads from 0.0 pips. The minimum deposit is $20,000.
Vantage Markets is seen as a good, reliable broker that offers social and copy trading – without being prohibitively expensive in terms of non-trading costs or commission. For traders looking to deal exclusively in forex, the Vantage Markets offering is limited but well-crafted. There is no proprietary platform, but users can trade on MetaTrader 4 and 5. Social and copy trading is available with ZuluTrade, DupliTrade and the myfxbook AutoTrade, and with both MT4 and 5 Expert Advisors can be used for algorithmic trading. For beginners, there is not much education available with Vantage Markets, so it might be more suitable for a trader that has some experience, and the research provided is mostly from third party sources. Vantage Markets has a YouTube channel and there are daily trading videos posted there. Vantage Markets allows for fast executions and is transparent on pricing, with good customer service. Trading Forex and CFDs involves significant risk of losing of your invested capital and is not suitable for all investors. 64.86% of retail investor accounts lose money when trading CFDs with this provider. You should not invest more than you can afford to lose and should ensure that you fully understand the risks involved. Before trading, please take into consideration your level of experience, investment objectives and seek independent financial advice if necessary. Established in 1989, CMC Markets was one of the first UK brokers to provide online forex trading. It offers over 300 forex pairs, with spreads as low as 0.7 on majors, including EUR/USD and USD/JPY, and leverage up to 30:1 on many major pairings. Its award-winning proprietary platform, Next Generation, is available on both web and mobile, offering an intuitive interface suitable for users of all experience levels. MT4 is also available. There is no charge to open an account and no minimum deposit required to start trading, making CMC one of the most accessible of the best forex brokers in the UK. 77% of Retail CFD or Spread Betting Accounts Lose Money. This regulated broker offers ideal trading conditions no matter what your style of trading. You have the choice of a zero commission account or a zero spreads account, and you can deposit as little as $50 to start trading. There’s even leverage up to 1:500 available if you want it. Unlike most brokers that offer a VPS, Switch Markets will give you a high-spec VPS completely free with your trading account – this is well worth it if you are an EA trader. Read its reviews and you will see that its customer support is exceptional and available around the clock – something often overlooked when choosing a broker. Withdrawals and deposits are fast too. This is an ideal broker for those looking to improve their trading skills. There are cashback promotions, free trader tools and EAs (such as Risk Manager) when you open a demo or live account. This is an ideal broker for those looking to improve their trading skills. It has partnered with some of the best trading education providers to give you free membership to a world-class education – fantastic for beginner traders. A broker to check out! Risk warning: Trading OTC derivatives is risky; please read our PDS and disclaimer before trading with us. We encourage you to seek your own independent advice and to consider your own financial situation, needs and objectives prior to making any decisions. A well-established and highly regarded UK forex broker, acquired by parent company GAIN Capital in 2014. It currently offers 84 currency pairs across major, minor and exotics, with spreads on many majors standing around 0.8 when trading through its proprietary platform. You’ll need to deposit a minimum of £100 to start trading. City Index provides several platforms, with its Web Trader and Advantage Apps aimed at beginner or casual traders, and MT4 and its own AT Pro platform for more experienced users.
IronFX is a leading recognised investment firm and international brokerage. IronFX offers tailored trading products and services to retail and institutional clients, including a wealth of trading tools, the latest trading platforms and 24/5 multilingual support. As a multi-asset brokerage, IronFX provides more than 300 tradable instruments across six asset classes including forex, metals, indices, commodities, futures and shares. For the last 10 years, IronFX has focussed on providing competitive trading conditions with tight spreads and flexible leverage. The company also offers an Autotrade solution that allows traders to copy the best performing forex traders’ strategies.
Considerations should be relevant to your personal circumstances, but here are a few key points that you’ll need to keep in mind:
Is It Regulated?
The primary consideration when choosing a forex or CFD broker is safety. You’re entrusting it with monetary funds and personal information, and will want a guarantee that both are protected. You’ll also want confidence in your chosen broker’s reputation and credentials; essentially ensuring that it’s not likely to go out of business, or worse, scam you out of profits. The best forex and CFD brokers in the UK will be regulated by the Financial Conduct Authority (FCA). This means it is obliged to operate to the highest standards with fairness and transparency. Regulation information should be clearly visible on a broker’s website and its FCA registration number listed.
What Are Its Trading Costs?
The next thing to consider when choosing a forex or CFD broker is cost. While some work on commission, most make money through spreads. The spread is the difference between the buy and sell price on a currency pair and, depending on the type of trader you are, can have a significant impact on your profit margin. Look at the average spreads each broker offers to find one that works best for you. In addition to spread, you’ll also need to consider the minimum deposit required and any other fees the broker may apply, such as rollover costs (a charge to hold an open position overnight), interest rates and withdrawal charges. Be sure to read the small print of each broker’s service agreement to avoid unexpected costs. Also remember that the cheapest option is not always the best. Look for value for money rather than the lowest cost.
What Trading Platforms Does It Use?
The trading platforms offered by a forex or CFD broker are extremely important, since it’s through them that you’ll conduct all trading activity. You’ll want a platform that’s intuitive, easy to navigate, suitable for your level of experience and that comes with a range of useful features to help inform the best trading decisions. Many of the best forex or CFD brokers in the UK offer the popular MetaTrader 4 (MT4) platform as well as their own platforms, most of which you can try out before making any commitment with a free demo account.
Does It Offer Good Customer Service?
A broker doesn’t provide you with a one-off service. It supports you throughout your trading career, so it’s vital it provides good customer care. A good broker should be easily contactable, handle problems efficiently and offer trustworthy trading guidance. Check out customer reviews of each potential broker on your list to see how they stack up. When considering customer service, also keep in mind the level of support each broker offers through educational tools and resources. The best forex or CFD brokers want you to turn a good profit and will often provide video tutorials, articles and webinars, most of which are free to access for account holders.
Does It Fit With Your Trading Style?
The type of trader you are will have a significant influence on the best broker for you, so be sure to assess how well what it offers fits with your trading style. If you’re a scalper, opening and closing trades to accumulate small profits several times a day, you’ll need a broker that offers tight spreads and does not insist on a minimum time frame between entering and exiting the market. If your strategy is focused on the carry trade, where you intend to hold positions over time to profit from interest rate differentials, you’ll want to look at a broker’s rollover pricing and swap rates. In addition to the above, you should also keep in mind things like:
Available leverage The types of accounts on offer The range of currency pairs available for trade
Ultimately, choosing a good forex or CFD broker comes down to thorough research. The following list of the best forex and CFD brokers in the UK should give you a good starting point. XTB is another option for those who want lower costs for trading forex with great customer service. The Vantage Markets app has some good reviews too. eToro is considered to be a reliable, low-risk broker because it is highly regulated by the Financial Conduct Authority (FCA) in the UK and regulatory bodies in other countries. Trading forex without a broker can be achieved by exchanging one type of currency for another type of currency at a bank or bureau de change. However, you will have to pay a high exchange rate each time you exchange currency. Furthermore, you will not be able to use leverage, access educational resources or practice using a demo account. Researching to find a forex broker that will meet your needs is a better option. Some of the major global brokers include Charles Schwab, Fidelity Investments and E*TRADE. When choosing a broker, consider whether it is regulated, how much it charges in trading fees, which trading platforms it is compatible with and the level of customer support available. Always check whether your preferred broker is regulated by the appropriate body for your country – in the UK, this is the Financial Conduct Authority (FCA). You should also consider trading costs, availability of customer service, which trading platforms it is compatible with and whether it is likely to be a good fit for your trading style. Of course, this list is not exhaustive and is not intended to inform any final decision made on your part. Instead, use it as a reference tool to guide your research and find a broker that best suits your trading style and personal circumstances. WikiJob does not provide tax, investment, or financial services and advice. The information is being presented without consideration of the investment objectives, risk tolerance, or financial circumstances of any specific investor and might not be suitable for all investors. Past performance is not indicative of future results. Investing involves risk including the possible loss of principal. ESMA risk warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74-89% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
