Advertisement
Open an Account With the Lowest-Cost Broker

Best forex brokers in the United Kingdom in 2022

Saxo Bank Logo
1st place
Saxo Bank
Fusion Markets Logo
2nd place
Fusion Markets
Visit broker
74-89% of retail CFD accounts lose money
CMC Markets Logo
3rd place
CMC Markets
Visit broker
76% of retail CFD accounts lose money

To help you find the best forex brokers in the United Kingdom, we looked at over 100 online brokers with a focus on retail traders. We checked and compared their fees, currency pair selection, charting tools, and educational materials.

Here are our top 5 picks for the top forex brokers in the United Kingdom in 2022:

  1. Saxo Bank is the winner, the best forex broker in the United Kingdom in 2022. Low forex fees. Great trading platform. Broad product portfolio.
  2. Fusion Markets takes second place. Low forex and CFD fees. Fast and easy account opening. Great customer service.
  3. CMC Markets rounds out the top three. Low forex fees. Great web and mobile platform. Advanced research and educational tools.
  4. Interactive Brokers is ranked fourth. Low trading fees. A wide range of products and many great research tools.
  5. Capital.com just made it on the list, taking the number five spot. Low forex CFD fees and commission-free real stocks. Great account opening experience. Excellent email and chat support.

Here is our score sheet including the minimum deposit you need to make at brokers in the UK:

Minimum deposit at the top forex brokers in the United Kingdom in 2022
Broker Info Minimum deposit Forex fee score
#1 Saxo Bank Danish investment bank $2,000 4.2 stars Visit broker
#2 Fusion Markets Australian forex broker $0 4.9 stars Visit broker
74-89% of retail CFD accounts lose money
#3 CMC Markets Global CFD broker $0 3.7 stars Visit broker
76% of retail CFD accounts lose money
#4 Interactive Brokers International broker providing all asset classes $0 3.3 stars Visit broker
#5 Capital.com Global CFD broker $20 3.7 stars Visit broker
81.40% of retail CFD accounts lose money

Best forex brokers
Fee comparison of the best UK forex brokers

To have a clear picture of forex fees, we calculated a forex benchmark fee for major currency pairs. This catch-all benchmark includes commissions, spreads and financing costs for all brokers.

Saxo Bank Fusion Markets CMC Markets Interactive Brokers Capital.com
EURUSD benchmark fee $7.1 $5.2 $8.8 $10.4 $8.7
GBPUSD benchmark fee $5.5 $3.2 $5.8 $8.3 $6.6
AUDUSD benchmark fee $5.7 $2.5 $8.2 $7.9 $6.1
EURCHF spread 1.4 0.6 2.5 0.4 2.2
EURGBP benchmark fee $8.7 $5.7 $10.2 $10.7 $10.9

All spreads, commissions and financing rate for opening a position, holding it for a week, and closing.

Best forex brokers
Non-trading fees at the best UK online forex brokers

Saxo Bank Fusion Markets CMC Markets Interactive Brokers Capital.com
Account fee No No No No No
Inactivity fee Yes No Yes No No
Withdrawal fee $0 $0 $0 $0 $0

Best forex brokers
Currency pair selection offered by the top online UK forex brokers

Saxo Bank Fusion Markets CMC Markets Interactive Brokers Capital.com
Currency pairs (#) 190 89 338 105 138

Best forex brokers
Our top scores for the best UK forex brokers

Based on our assessment and hundreds of data points we analyzed, here is our scorecard for the best online broker for trading forex in the UK:

Saxo Bank Fusion Markets CMC Markets Interactive Brokers Capital.com
Fees score 3.3 stars 4.7 stars 3.6 stars 4.5 stars 4.4 stars
Markets and products score 5.0 stars 2.2 stars 2.6 stars 5.0 stars 3.1 stars
Education score 4.5 stars 1.5 stars 5.0 stars 4.5 stars 5.0 stars
Charting quality Great Mid-range Great Great Great

Here are a few things that are good to know before diving into forex trading and the financial markets:

What makes a top forex broker?

  • First of all, fair forex fees.
  • A good selection of currency pairs.
  • A great forex trading platform with advanced charting.
  • Educational tools to guide you through the basics of trading.

If you're a beginner, be careful with foreign currency trading as forex products are complex and risky, therefore not suitable for everyone.

Is forex trading legal in the UK?

Foreign exchange trading is legal in the UK provided that it is offered by a broker that is authorized and regulated by the Financial Conduct Authority (FCA), the financial regulatory body of the UK, which will protect you from having to deal with a scam broker. Before a broker can accept UK forex and CFD traders as clients, they must be authorized by the FCA. You can look up if your broker is registered with the FCA by entering the registration number of the broker in question (you will find it at the bottom of the broker's website) on the FCA website.

Are my funds safe with forex brokers in the UK?

In 2019, the FCA introduced measures to protect retail investors, including negative balance protection.

The measures mean that you cannot lose more funds than you have on your account. The funds in the account mean funds specifically dedicated to the restricted speculative investments, which includes cash in the account and any unrealized net profits from open positions. However, it does not include funds and other assets in your account that are not dedicated to trading in the restricted speculative investments.

Can I trade with a UK forex broker if I live in the EU?

After Brexit, the UK's exit from the EU, it is not a given that UK forex brokers can take on European clients. UK forex brokers that are also regulated in the EU can accept you as an EU client through their European entity, provided they have one. If you reside in Europe, your broker will need to be regulated by a national regulator from an EU member country.

Now let's see our top picks in detail, starting with the winner, Saxo Bank.

Saxo Bank Logo

#1 Best forex broker
Saxo Bank

The essence: Saxo Bank has low forex fees and gives access to 190 currency pairs. It is recommended for investors and traders looking for a great trading platform and solid research.
  • Minimum deposit: $2,000
  • The forex benchmark fee for EURUSD is $7.1
  • No inactivity fee
  • No withdrawal fee

Saxo Bank, a Danish investment bank founded in 1992, is regulated by several financial authorities globally, including the Danish Financial Services Agency (FSA) and the UK's Financial Conduct Authority (FCA). Being regulated by top-tier financial authorities, having a long track record and a banking background are all good signs for Saxo Bank's safety.

Visit broker

Fusion Markets Logo

#2 Best forex broker
Fusion Markets

The essence: Fusion Markets has low forex fees and gives access to 89 currency pairs. The broker is recommended for forex traders looking for low fees and a chance to use the MetaTrader 4 platform.
  • No minimum deposit
  • The forex benchmark fee for EURUSD is $5.2
  • No account fee
  • No inactivity fee
  • No withdrawal fee

Fusion Markets is an Australian discount forex broker founded in 2010. It is regulated by the Australian Securities and Investments Commission (ASIC) and the Vanuatu Financial Services Commission (VFSC).

Visit broker
74-89% of retail CFD accounts lose money

CMC Markets Logo

#3 Best forex broker
CMC Markets

The essence: CMC Markets has low forex fees and gives access to 338 currency pairs. The broker is recommended for forex and CFD traders looking for an advanced trading platform with many research tools.
  • No minimum deposit
  • The forex benchmark fee for EURUSD is $8.8
  • They charge an inactivity fee
  • No withdrawal fee

CMC Markets is a global CFD and forex broker, founded in 1989. It is regulated by several authorities globally, including the top-tier UK Financial Conduct Authority (FCA). The company is also listed on the London Stock Exchange. Having a long track record, being listed on a stock exchange and being regulated by top-tier authorities are great signs for CMC Markets' reliability.

Visit broker
76% of retail CFD accounts lose money

Interactive Brokers Logo

#4 Best forex broker
Interactive Brokers

The essence: Interactive Brokers has average forex fees and gives access to 105 currency pairs. It is recommended for traders looking for broad market access and a professional trading environment.
  • No minimum deposit
  • The forex benchmark fee for EURUSD is $10.5
  • No account fee
  • No inactivity fee
  • No withdrawal fee

Interactive Brokers, one of the biggest US-based discount brokers, was founded in 1977. The broker is regulated by several financial authorities globally, including top-tier ones like the UK's Financial Conduct Authority (FCA) and the US Securities and Exchange Commission (SEC), and is considered safe.

Visit broker

Capital.com Logo

#5 Best forex broker
Capital.com

The essence: Capital.com has low fees and gives access to 138 currency pairs. It is recommended for investors and CFD traders looking for a great trading platform and excellent customer service.
  • $20 minimum deposit
  • The forex benchmark fee for EURUSD is $8.7
  • No account fee
  • No inactivity fee
  • No withdrawal fee

Captial.com is a global CFD broker founded in 2016. It has offices located in the United Kingdom, Cyprus, Australia, Seychelles and Gibraltar where each is authorized and regulated locally respectively by the Financial Conduct Authority (FCA), the Cyprus Securities and Exchange Commission (CySEC), the Australian Securities and Investments Commission (ASIC) and the Financial Services Authority of Seychelles (FSA).

Visit broker
81.40% of retail CFD accounts lose money

Best forex brokers
Forex broker fees in the UK

Forex brokers can charge commissions, spreads and financing fees.

When it comes to commissions, there are two different fee structures forex brokers normally use:

  1. All currency trading fees are included in the spread except the financing rate. Basically, think of it as the broker giving you a wider spread than it gets from the forex market.
  2. You get the market spread, but you pay a commission based on the traded amount. This model is usually used by ECN brokers.

The second version is more transparent, but this doesn't always mean it's more expensive.

When you trade forex on leverage and hold your position overnight, a fee will be charged. This is called the financing cost. Financing costs change daily, and can add up if you hold your positions for a longer period.

If you don't know how forex trading works, take a look at our forex education articles.

Still unsure? Use our broker finder tool to pick the best broker tailored to your investment needs.

Best forex brokers
FAQ

Is forex trading legal in the UK?

Forex trading is fully legal in the United Kingdom. Brokers that provide forex trading must be authorized and regulated by the country's financial regulator, the Financial Conduct Authority (FCA). The brokers will provide their FCA registration number on their website. Retail investors trading forex in the UK are entitled to negative balance protection, which means that they will be protected in case the balance on their trading account dips into negative territory.

Which forex broker can I use in UK?

The best forex brokers in the UK:

  • Saxo Bank - low forex fees and great trading platforms.
  • Fusion Markets - low forex fees and a superb selection of currency pairs.
  • CMC Markets - low forex CFD fees and an excellent account opening experience.
  • Interactive Brokers - low forex fees and diverse research tools.
  • Capital.com - no inactivity fee and rock-solid background.

Save yourself hours of research and check out our broker recommendation tool that will give you a tailor-made list of the best forex brokers available to you.

Are forex gains taxable in the UK?

The taxation of forex trading in the UK is complex. If you are a speculator/gambler (i.e. you trade sporadically and have other source(s) of income), the gains from your forex trades will not be taxed. If you are an investor (i.e. forex trading is your main source of income), you are liable to taxation on the basis of either income, capital gains or corporate tax. We recommend you consult a tax advisor for detailed guidance.

Spread betting is free from the capital gains tax. If you trade forex CFDs, you will be liable to pay a capital gains tax after your profits.

Best forex brokers
Bottom line

Author of this article

Eszter Zalan

Author of this article

Eszter is a Brussels-based content editor and writer with over fifteen years of experience in journalism. She thrives in researching complicated issues and explain their essence in a plain and clear language to guide you through the world of finance.

Eszter Zalan

Content Editor

Eszter is a Brussels-based content editor and writer with over fifteen years of experience in journalism. She thrives in researching complicated issues and explain their essence in a plain and clear language to guide you through the world of finance.

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

Visit Fusion Markets
74-89% of retail CFD accounts lose money
Visit CMC Markets
76% of retail CFD accounts lose money
Visit Capital.com
81.40% of retail CFD accounts lose money

Share

Comments

×