Best brokers for beginners in the United Kingdom in 2024

Written by
Adam N.
Fact checked by
Updated
17h ago
Dive into our toplist of regulated and trusted brokers that we tested with real money. Every broker is available in the United Kingdom.

Find below the strengths of the best brokers for beginners available in the United Kingdom, updated for 2024:

  1. eToro - the best broker for beginners in the United Kingdom in 2024. Free stock and ETF trading. Seamless account opening. Social trading.
  2. XTB - Commission-free stocks and ETFs (for trades up to €100k per month). Free and fast deposit and withdrawal. Easy and fast account opening. High interest paid on cash.
  3. Trading 212 - Real stocks and ETFs are commission-free. Quick and easy account opening. Great trading platforms. Pays interest on uninvested cash.
  4. Lightyear - Commission-free ETF and low commission on stock trades. High interest on uninvested cash. Quick account opening. Easy-to-use mobile trading platform.
  5. Webull - Free stock/ETF trading and high 5% interest on uninvested cash. Fast and easy account opening. Great trading platforms.
  6. Freetrade - Free stock and ETF trading. Easy and fast account opening. Great mobile trading platform.
  7. Alpaca Trading - Great API trading service. Free stock & ETF trading. Fantastic charting tools.
  8. Robinhood - Free US stock and ETF trading. Great mobile and web trading platforms. Fast and fully digital account opening. Interest paid on uninvested cash.
  9. Charles Schwab - Free stock and ETF trading. Outstanding research. Great customer service.
  10. Revolut - Low stock fees. Fast and easy account opening. Great mobile trading platform. Pays interest on uninvested cash.
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Overview of the best brokers for beginners


While many online brokers suitable for beginners offer an excellent service, the ones in our toplist go the extra mile.

Broker
Minimum deposit
Time to open account
eToro
$10
1 day
XTB
$0
1 day
Trading 212
$1
1 day
Lightyear
$0
1 day
Webull
$0
1 day
Freetrade
$0
1 day
Alpaca Trading
$0
1 day
Robinhood
$0
1 day
Charles Schwab
$0
1 day
Revolut
$0
1 day
Best brokers for beginners data compiled for March 2024

Popularity of the best brokers for beginners in the United Kingdom

Interested in what others think? Here's how many people chose these brokers at BrokerChooser in the last 6 months.

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Fees at the best brokers for beginners in the United Kingdom

Broker
US stock
eToro
$0.0
XTB
$0.0
Trading 212
$0.0
Lightyear
$1.0
Webull
$0.0
Freetrade
$0.0
Alpaca Trading
$0.0
Robinhood
$0.0
Charles Schwab
$0.0
Revolut
$5.4
Fees at the best brokers for beginners in the United Kingdom in 2024
All commissions are for opening a position, holding for a week, and closing.

Non-trading fees at the best brokers for beginners in the United Kingdom

Non-trading fees are charges that are not directly related to a trade and typically include the account maintenance fee, deposit/withdrawal fees and the inactivity fee.

Broker
Withdrawal fee
Inactivity fee
eToro
$5
XTB
$0
Trading 212
$0
Lightyear
$0
Webull
$0
Freetrade
$0
Alpaca Trading
$0
Robinhood
$0
Charles Schwab
$0
Revolut
$0
Non-trading fees at the best brokers for beginners in the United Kingdom in 2024

How safe is my money with online brokers in the UK?

The main regulator in the UK overseeing financial markets is the Financial Conduct Authority (FCA). The FCA is recognised globally as one of the top-tier regulators.

The FCA’s goal is to protect retail traders and investors and to combat scams. The FCA has strict requirements for client money handling, giving you peace of mind that your money is safe with an FCA-regulated broker.

In 2019, the FCA introduced additional measures to protect retail investors. There are restrictions on the amount of leverage the firms can offer, a compulsory negative balance protection, meaning that you cannot lose more funds than you have on your account, and other rules relating to disclosures and a ban on financial incentives to clients.

The FCA has warned repeatedly that many scam firms claim to be based in the UK and even claim to be FCA authorized. You can look up if your broker is registered with the FCA on the Financial Services Register, by entering the registration number of a broker (typically, you can find this at the bottom of the broker's website) on the FCA website.

Investor protection

UK residents are entitled to investor protection under the Financial Services Compensation Scheme (FSCS). The current investor protection limit is £85,000 per person. This means that when a broker becomes insolvent, the FSCS will pay up to £85,000 to any customer of the firm who has lost money as a result.

How much tax do I pay as an investor or trader in the UK?

There are several types of tax you might have to pay when trading or investing in the UK.

As an individual, any profit you make from trading or investing above the personal allowance threshold of £12,570 per year (in the 2023/24 tax year) will be subject to income tax. The rates of income tax vary depending on your total income, ranging from a 20% basic rate to a 45% additional rate for the highest earners.

The nex is capital gains tax. Any profit from trading is taxed as capital gain in the UK. Capital gains up to an annual limit of £6,000 (in the 2023/24 tax year) are tax free. If the profit you make when you sell your shares or any other assets (i.e. forex, crypto, CFD) exceeds that allowance, you will need to pay capital gains tax of 10% at the basic rate, or 20% at the higher rate.

If you are trading or investing in UK shares or other securities that involve ownership, you will be subject to stamp duty or Stamp Duty Reserve Tax (SDRT). The rate of stamp duty and SDRT on shares is currently 0.5% of the total transaction value. The difference is that you pay SDRT on share transactions settled electronically. If you buy shares the traditional way, using a stock transfer form, you pay stamp duty if the transaction value is over £1,000.

However, your taxes will be waived if you have an Individial Savings Account (ISA) or Self-invested personal pension (SIPP) account.

You don’t need to pay income tax, tax on dividends or capital gains tax on the investments held within a stocks and shares ISA or a SIPP, also called tax wrappers.

And now, let's see in detail the best online brokers for beginners in 2024 one by one.

Recommended for traders interested in social trading (i.e. copying other investors’ trades) and zero-commission stock trading

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Your capital is at risk. Other fees apply. For more information, visit eToro.

eToro snapshot
Minimum deposit $10
US stock fee $0.0
Demo account Yes
Mobile platform score 4.9 stars
Time to open account 1 day
Inactivity fee Yes
Fractional shares Yes
Read review For a detailed analysis of eToro services, check out our review for 2024.
XTB Logo

XTB

Recommended for forex and CFD traders looking for low fees and great deposit/withdrawal service

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76-85% of retail CFD accounts lose money

XTB snapshot
Minimum deposit $0
US stock fee $0.0
Demo account Yes
Mobile platform score 4.4 stars
Time to open account 1 day
Inactivity fee Yes
Fractional shares Yes
Read review For a detailed analysis of XTB services, check out our review for 2024.

Recommended for equity investors and CFD traders looking for easy-to-use trading platforms

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Trading 212 snapshot
Minimum deposit $1
US stock fee $0.0
Demo account Yes
Mobile platform score 4.9 stars
Time to open account 1 day
Inactivity fee No
Fractional shares Yes
Read review For a detailed analysis of Trading 212 services, check out our review for 2024.

Recommended for investors and beginners looking for high interest rates on cash, a simple but great mobile platform, and low fees

Visit broker
Capital at risk

Lightyear snapshot
Minimum deposit $0
US stock fee $1.0
Demo account No
Mobile platform score 4.8 stars
Time to open account 1 day
Inactivity fee No
Fractional shares Yes
Read review For a detailed analysis of Lightyear services, check out our review for 2024.

Recommended for investors and traders looking for zero-commission trading and easy platforms

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Webull snapshot
Minimum deposit $0
US stock fee $0.0
Demo account Yes
Mobile platform score 5.0 stars
Time to open account 1 day
Inactivity fee No
Fractional shares Yes
Read review For a detailed analysis of Webull services, check out our review for 2024.

Recommended for long-term investors on the hunt for low fees and focusing on the UK and US markets

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Freetrade snapshot
Minimum deposit $0
US stock fee $0.0
Demo account No
Mobile platform score 4.7 stars
Time to open account 1 day
Inactivity fee No
Fractional shares Yes
Read review For a detailed analysis of Freetrade services, check out our review for 2024.

Recommended for traders interested in algorithmic stock trading

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Alpaca Trading snapshot
Minimum deposit $0
US stock fee $0.0
Demo account Yes
Mobile platform score 4.2 stars
Time to open account 1 day
Inactivity fee No
Fractional shares Yes
Read review For a detailed analysis of Alpaca Trading services, check out our review for 2024.

Recommended for beginners and buy-and-hold investors focusing on the US stock market

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Robinhood snapshot
Minimum deposit $0
US stock fee $0.0
Demo account No
Mobile platform score 5.0 stars
Time to open account 1 day
Inactivity fee No
Fractional shares Yes
Read review For a detailed analysis of Robinhood services, check out our review for 2024.

Recommended for investors and traders looking for solid research, low fees and great customer service

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Charles Schwab snapshot
Minimum deposit $0
US stock fee $0.0
Demo account Yes
Mobile platform score 4.2 stars
Time to open account 1 day
Inactivity fee No
Fractional shares Yes
Read review For a detailed analysis of Charles Schwab services, check out our review for 2024.

Recommended for beginners looking for low-cost stock trading and a great mobile-only trading platform

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Revolut snapshot
Minimum deposit $0
US stock fee $5.4
Demo account No
Mobile platform score 4.4 stars
Time to open account 1 day
Inactivity fee No
Fractional shares Yes
Read review For a detailed analysis of Revolut services, check out our review for 2024.

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How did BrokerChooser select the best online brokers for beginners in the United Kingdom?

  • We conducted interviews with newcomers who had little to zero trading experience trading.
  • We opened an account and tested the trading platform with our own money.
  • We looked at how easy and user-friendly it is to open an account for beginners.
  • We checked whether brokers offers educational tools, like a demo account or learning material.
  • We checked how easy it is to understand fees for new users.
  • We also took into consideration if the brokers offer fractional shares and interest for uninvested cash
  • We checked and compared 101 brokers with a special focus on fees, their trading platform and customer service.

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FAQ

Which broker should I use as a beginner in the UK?

First of all, when you start investing and trading, you should look for a regulated broker. BrokerChooser only recommends regulated brokers, so if you pick one to open an account with from our UK toplist, you can be sure that it has proper regulatory oversight.

Secondly, look at the trading conditions offered by the broker. Low fees (or tight spreads) are key, as beginners will certainly make some mistakes in their trading journey as they learn. It’s best to avoid unnecessary costs when you are still learning. As an investor, look for low or zero management fees.

Thirdly, an easy-to-use trading platform, and the option of a mobile platform, to pick stocks, or trade on the go, will also help you gain more experience. As a trader, look for a broker that offers a demo account, to practice trading with virtual money without risking your own capital. As an investor, pick a provider with an intuitive platform that lets you set your investment goals and risk attitude before it recommends investments for you.

Both as a trader and as an investor, look for a provider with a great choice of educational materials, including tutorials for beginners. Should you need more help, BrokerChooser provides you with a great starting point on our education page, where you can find a lot of useful learning materials. You can also find some tips on how to start investing. To select the best online broker for your level of expertise and risk-tolerance, use our find my broker tool.

How should a beginner start investing in stocks?

Before you make stock investments, you should draw up a plan. For that, you should think over what is your objective is, how much time you want to spend investing and what level of risk you want to take. You may also consider, how hands-on you want to be with your investments.

For beginners, one of the best ways to start investing in stocks is by choosing an index fund or a mutual fund, which are an easy and low-cost way to dip your toes in the stock market. We have put together a guide on how to start investing in stocks, and how to buy shares online.

How much money do I need to start investing?

Most people don’t have a lot of spare cash on their hands to invest in the stock market. However, the good news is that you can start your investing journey with as little as £1. There are low or zero-fee funds to consider and some brokers offer you fractional shares, too.

The main goal is to build a habit of regularly putting your money to work. Get prepared to hold on to your investments for a number of years. Investing could be one way to earn passive income. You may or may not want to spend time managing your investments. You have options available for both approaches.

Is investing hard to learn?

Investing is not difficult to learn if you invest enough time and energy into it. The key is education and building experience. The more you practice, the better you get. It's also essential to have a plan that takes into account your funds available, your investment goal, for instance growth or building income, and your risk-tolerance level, from risk seeking to risk aversion.

We help you through the process with a guide on how to invest in stocks. We also give you tips on how much you should invest when you are starting out. You can also browse through our top recommendations for the best trading platforms for stocks.

Want to learn more?

Check out these articles written by our broker and trading experts:

Glossary

Here is a glossary to help you with some terms in our review:

Inactivity fee: a fee that is charged when a customer has not done any buying or selling on their brokerage account for a specific amount of time determined by the brokerage.

Withdrawal fee: an amount you need to pay when you withdraw money from your trading account to your bank account.

Deposit fee: this is charged when you send money to your trading account at an online broker. The fee may differ depending on the method of transfer (i.e. bank card, bank transfer, e-wallets, etc.).

Regulators: these are official bodies established by governments or other organizations to oversee the functioning and fairness of financial markets, including markets, exchanges and firms. They also oversee that investors are not fooled by scams, and in case of wrongdoing, they try to provide some level of financial and legal backing.

Investor protection: this means that up to a certain limit, you get your money back if the broker goes into bankruptcy or commits fraud.

Non-trading fees: charges not directly related to trading, such as deposit/withdrawal fees or inactivity fees.

Trading fees: these are charged when you trade; for instance, in the form of a commission, spreads, financing rates, margin rates or a conversion fee.

Still sounds confusing? You can dive into our broader glossary explaining all the exotic terms of the financial world. We also have a forex trading glossary dedicated to terms specifically related to forex trading.

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Engage with our growing community of traders and investors like you to find your answers.
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Author of this article

Adam Nasli

Financial Wizard | Trading • Safety • Market Analysis

I bring extensive financial expertise as one of BrokerChooser's earliest team members. Personally, I tested nearly all 100+ brokers on our site, opening real-money accounts, executing trades, assessing customer services, and providing firsthand assessment. My professional background includes roles in the banking sector and a degree from Central European University, where I teach finance. My passions lies in in-depth research of the financial industry, building trading algorithms, and managing long-term investments.

Everything you find on BrokerChooser is based on reliable data and unbiased information. We combine our 10+ years finance experience with readers feedback. Read more about our methodology.

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