Best UK Regulated Forex Brokers 2022

logomark Filippo Ucchino calendar Last Updated: January 2022 timer 13 min read
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At InvestinGoal, we adhere to strict standards to ensure an unbiased review process. We conduct our reviews by examining each broker’s offering and performance across 4 key categories. A final rating is produced for each forex broker based on a total of 187 data points. Learn more about our review process and methodology.

Making a decision about which UK-regulated forex broker to use when trading is a decision that cannot be taken lightly due to the financial risk involved. UK forex brokers are regulated by the Financial Conduct Authority (FCA), one of the world’s most reputable regulators, but this doesn’t mean their quality of service is the same.

When comparing brokers, it’s important to consider factors such as customer service, the range of markets you’ll have access to and how user-friendly the platform is.

Investingoal’s team of industry experts have evaluated the best UK-regulated forex brokers to provide you with a list of the most trusted, valuable and prestigious brokers for UK traders.

Round-up of the best UK Forex brokers

UK Forex Brokers Best For Minimum Deposit
IG Markets Overall Trading Experience $300
Pepperstone Day Trading $200
AvaTrade Fixed Spreads $100
XTB Educational Services No minimum deposit
Admiral Markets Real Stock Trading $1
FxPro Customer service $100
eToro Social and copy trading $10
City Index Transparency and global presence $50
Oanda Beginners No minimum deposit
FXTM Professional Traders $10
Table of contents

Is Forex Trading legal in the UK?

The simple answer to this question is a resounding yes. All forex trading is legal in the UK under the FCA (Financial Conduct Authority) regulations. They are an independent body, established in 2012 to oversee the financial sector and compliance in the UK. They have quickly grown into one of the most reputable regulatory bodies in the world providing the very best protection for you as a forex trader.

How to trade forex in the UK

Trading forex in the UK is in fact not much different from getting started as a forex trader in many other parts of the world.

Typically, all top forex brokers will require the following from you in order to get started:

  • Proof of ID – Passport is usually best for this one.
  • Proof of Residence – A bank statement or utility bill dated within 3 months is usually fine for this purpose.

Once you have provided these documents to your UK broker, your account will typically be verified very quickly and often through automated systems. If there is any discrepancy then it may take the broker an additional day or two to complete the process, but then you will be ready to trade.

Top 10 Forex Brokers in the UK: 2022 List

Here’s our list of the best British forex brokers.

One of the most established companies operating since 1974, IG Markets has amassed a lifetime of experience in trading. They are even recognized as one of the longest established CFD providers in UK. As of 2018, they boast a mighty number of 195,000 clients worldwide and access to over 16,000 markets. The broker are very well-regulated by the FCA (#195355) and provide a great selection of forex pairs, over 90 within their asset offering.

By trading with IG Markets, beyond their trusted, and long-standing reputation in the sector, you can get started with a reasonable minimum deposit of just £250 for traders based in the UK. Once you are trading you will also find a great value spread starting at just 0.6pips perfect for all types of traders. If you are into spread betting then this too is available to users within the UK at excellent rates.


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76% of retail CFD accounts lose money

Based in both the UK and Australia Pepperstone has won numerous awards since its formation in 2010. One of these prestigious awards includes a first place for Risk Management in Australia in 2017. They are FCA regulated (#684312) and in terms of security, Pepperstone boasts its segregated funds system which means traders funds aren’t automatically mixed in with other traders funds in some big pile of money. Instead, funds are deposited into segregated client accounts with Barclays, one of the UK’s biggest banks.

With the broker, you can access a wide range of social trading features where you can really benefit from the trades and knowledge of other platform users as well as trade for yourself through the Standard or ECN Razor account types. Pepperstone also stays very accessible with a minimum deposit starting at just £200 and a really fantastic spread from 0 pips and a rewarding active trader program.


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74-89% of retail investor accounts lose money when trading CFDs

AvaTrade is not FCA regulated, however, it is regulated in Ireland by the Central Bank of Ireland and by the FSC, the regulatory body of the British Virgin Islands. They are also regulated in Australia, Japan, and South Africa, and adhere to the Markets in Financial Instruments Directive, which provides traders with a good thick layer of protection. Additionally, AvaTrade are the official partners of Manchester City FC, one of the UK’s biggest football teams.

All in all, they are a very well-trusted Irish broker and many are attracted by the fact that accounts can be opened from just $100 with a great spread betting account also available. They are also one of the few to provide fixed spreads to traders. These start from an excellent 0.9 pips across a wide range of assets available. These assets, including those available for spread betting, in particular, number into the hundreds and include forex, commodities, indices, equities, bonds, and ETFs. An array of choices for all.


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79% of retail investor accounts lose money

XTB is perhaps one of the most highly regulated forex brokers in the world. They meet the regulatory standards of numerous countries aside from the UK where they are FCA regulated (#522157), and are proud of it. XTB also has offices in more than 10 countries, hold more than 14 years in the industry and use segregated accounts to store clients funds. During this time, they have received awards from Forbes and Bloomberg.

A very attractive point XTB holds for many traders is the fact that no minimum deposit is required. New traders in particular like that fact, and the ability to deposit with PayPal for a 2% fee makes them extremely accessible. Add that to the fact they have more than 5,200 assets to choose from including 48 forex pairs with spreads from 0.1pips and 25 crypto assets and you can easily see how they have established such a wide trader base.


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73% of retail investor accounts lose money

Admiral Markets takes regulation very seriously. When you first open their page, you are immediately struck by a pop up showing you in what countries they are regulated. Admiral Markets also make it clear that not only do they offer clients segregated accounts, they also adhere to the FSCS and have Negative Balance Protection in place as well as being FCA regulated (#595450).

Beyond this, they are one of the best known market maker brokers in the sector with a diverse choice of more than 4,000 assets to trade, including bonds, ETFs, and cryptocurrency. The fact that you can open an account with just $100 is an added attraction for all levels of trader. Once you are trading you can look forward to a packed educational section perfect for learning as a new trader, and spreads that start from 0 pips on forex providing the very best value.


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76% of retail investor accounts lose money

FxPro is a London-based, FCA regulated (#509956) broker that is additionally regulated by CySEC and SCB, giving traders a high level of protection. In 2017, FxPro was voted ‘Best FX Broker’ by the Shares Awards and they are also the official main sponsor of Watford FC and official partner of the F1 McLaren team – two fairly big names in the sporting world. Additionally, FxPro were awarded ‘Most Trusted Forex Brand’ by Global Brands Magazine in 2017 as well as countless other accolades.

A minimum deposit starting from just £100 provides top value to all, in particular newer traders, and the broker also carries one of the best known spread betting platforms in the industry, FcPro Edge to appeal to that type of trader. On top of everything, you can benefit from excellent spreads starting at 0 pips, and fixed spreads available through the MT4 trading platform too.


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75.54% of retail investor accounts lose money

eToro is of course recognized as a global leader when it comes to social trading and are number one in this regard in addition to being one of the top brokers generally in the UK and worldwide. eToro are comprehensively regulated by the FCA (#583263), and are often one of the first choices for new traders entering the industry.

An affordable $10 minimum deposit for british traders is the first key to getting started with this household name. Prior to that you can hone your skills with an unlimited free demo account to get some practice in. Once you’re trading, you will experience one of the most user-friendly proprietary trading platforms in the business that is heralded by traders new and experienced alike. Only the USD base currency is supported so you may incur a small conversion fee, but the services and rewarding eToro Club more than make up for this, with a host of great markets available.


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68% of retail investor accounts lose money

City Index is another on our list of the top 10 UK-regulated forex brokers, who are also well-regulated by several top-tier bodies including the FCA under license #446717. They are also one of the longest-standing brokers around, with more than 35 years of trading history and a HQ in London.

The broker is part of the NASDAQ listed StoneX Group, further adding to their credibility. Here you will find a great demo account you can access for 12 weeks and a very appealing spread from only 0.5 pips on major forex pairs. Another attractive point, particularly for new traders, is the $50 minimum deposit requirement.

You will also never be stuck for choice at City Index. They offer more than 12,000 assets to trade in as CFDs and in spread betting which is available if you are a UK client.


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67% of retail CFD accounts lose money

Last on our listing of top UK brokers but still up there with the best, is Oanda. Like the others, they too are very well-regulated by the FCA (#542574) and are another popular choice for new and experienced traders alike. They too are highly experienced and trusted, having been in the industry since 1996.

Trading here you will find the most competitive of trade opening requirements from £1 that keeps trading available to all, though there is no minimum deposit required. There is a vast range of markets to choose from with something for all levels and types of trader, and the spreads also remain competitive starting from 1 pips with the option to try spread betting if you are interested. This combination of features and their trusted reputation has helped Oanda remain at the head of the industry for decades.


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73.50% of retail investor accounts lose money

FXTM, or as it is otherwise known, ForexTime, was established in 2011. The company is young, but has gained a lot of respect and won several awards in a short period of time. FXTM’s reputation has managed to garner them more than 10,000 clients in 135 countries worldwide. Their demo account also lets you play around with $1,000,000, which is more than enough to test their platform to its absolute limits. They are of course FCA regulated (#777911) and provide a total of six account types to choose from.

Of these three account types, three are dedicated ECN accounts with extremely fast execution speeds. The broker is particularly popular among African traders, for whom they cater very well. That popularity is extended thanks to a very accessible minimum deposit starting at just £10 as well as extremely competitive spreads from 0 pips and a very rewarding loyalty program.


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81% of retail investor accounts lose money

What British traders should look for in a UK forex broker

There are a few important points to note if you are a British trader and planning to choose an FCA regulated broker regarding what is permitted and what’s not in terms of regulations. The FCA are well-known as one of the more stringent in terms of the rules they apply, though this is ultimately for your benefit and protection.

The first thing to keep in mind is related to leverage. Under FCA regulation like CySEC and ESMA brokers, this is capped at 30:1 for no professional traders. As a professional you can access as much as 400:1 leverage if you meet the criteria to qualify as a professional trader.

Unlike some other regulators though, the FCA do permit spread betting, so if this is something that interests you, then an FCA regulated broker could be the right choice. They do also ensure negative balance protection is offered to all traders and that all funds are held in segregated accounts. A further protective measure comes from the ICF (Investor Compensation Fund). They will cover up to £85,000 in losses due to bankruptcy or insolvency of your broker.

With those points in mind, here are three key things you should be mindful of when choosing a broker:

1. Look for UK regulated forex brokers

Regulation is vital. When choosing a UK forex broker, you should really be looking no further than choosing an FCA regulated broker as your first choice, since they are the most respected regulatory body in the region who will offer you the most protection as a trader.

2. Minimum trade size is important

When trading forex you should always have a look at the minimum trade size associated with your broker. In many cases, with a leverage of 30:1, you would need a minimum of £33 in order to open a position trading on a micro lot. In that case, you should aim to deposit more in order to have the best trading experience.

With that said, there are usually brokers who offer trading with a deposit as low as £10. So, take into account your intended deposit and find a broker that  matches this need.

3. Are you into Betting and Trading? Try Spread Betting

Remembering that spread betting is legal in the UK and Ireland, if you are interested in trying this, then you should choose a broker that makes it available with a user-friendly trading platform. It is tax-free but known as being quite a risky  trading strategy. If it interests you though, you should certainly check our listing of the best spread betting forex brokers to choose one.

How to verify if a forex broker is regulated in the UK

Of course, when you choose a regulated broker, you should take a moment to verify that regulation for yourself. This can be easily done for most UK forex brokers through visiting the FCA official website. Once you are there you can look for the FCA register and look for the company name of the broker (which often differs from the broker’s name). This company name can usually be found at the bottom of your broker homepage.

Is forex trading taxable in the UK?

Yes, forex trading is taxable in the UK. With that said, there are a number of categories. If your earnings fall below £12,500 then you will not have to pay any taxes. From there though, a capital gains tax of 10% on amounts up to £50,000, and 20% on amounts over £50,000 applies.

We are not professional tax advisors, thus we strongly suggest you contacting local authorities if you don’t know how to manage this aspect.


About the Author

Filippo Ucchino

Co-Founder - CEO - Broker Expert
Filippo is the co-founder and CEO of InvestinGoal.com. He has 15 years of experience in the financial sector and forex in particular. He started his career as a forex trader in 2005 and then became interested in the whole fintech and crypto sector.
Over this time, he has developed an almost scientific approach to the analysis of brokers, their services, and offerings. In addition, he is an expert in Compliance and Security Policies for consumers protection in this sector.
With InvestinGoal, Filippo’s goal is to bring as much clarity as possible to help users navigate the world of online trading, forex, and cryptocurrencies.

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