What is the best forex trading platform for beginners in the U.K.?

IG stands out for beginners in the U.K. The broker is a leader when it comes to education, thanks to the ease of use across its flagship platform. Beginners also benefit from IG Academy, a dedicated mobile app with educational resources; content from DailyFX, a blog-style news site; and access to IG Community, a social network resembling an advanced forum.

Is forex trading legal in the U.K.?

Yes, forex trading is legal in the U.K. provided that it is offered by a broker that is properly authorized and regulated by the FCA — a requirement that will also protect you from dealing with a scam broker. That’s why it is critical to only use a trusted forex broker that holds a valid regulatory status with the FCA. When checking a broker that holds a valid license in the U.K. on the FCA website , you can see the type of clients that it can work with (such as retail or professional) and the types of investments the broker can provide, such as: Contract for differences Rights to or interests in investments (Contractually Based Investments) Rights to or interests in investments (Security) Rolling spot forex contract Shares Spread bet

Can I trade with a U.K. forex broker if I reside in the EU?

U.K. forex brokers that are also regulated in the EU can accept you as an EU client through their EU entity. Since the U.K. has left the European Union, passporting is no longer supported from the U.K. (except to Gibraltar). Therefore, if you reside outside of the U.K., your broker may also need to be regulated in your country of residence. To check which brokers accept clients from your country of residence, use our forex brokers international search tool.

Do U.K. forex brokers need to be authorized by the FCA?

Yes, U.K. forex brokers must be licensed and regulated by the Financial Conduct Authority (FCA) and authorized to deal in investments as agent and/or as principal. The type of investments that FCA-regulated forex brokers can offer clients can also vary depending on their specific authorization from the FCA. That might include rolling spot forex contracts, CFDs, shares, futures, options, spread bets, and other instruments. A benefit of dealing with a regulated broker in the U.K. is that as a retail client, you are eligible for up to £85,000 in compensation in the extraordinary event of your broker’s insolvency, thanks to the Financial Services Compensation Scheme, or FSCS.

Do you pay tax on forex trading in the UK?

Yes, gains from forex trading are subject to capital gains tax in the U.K., with certain exceptions including whether you are trading forex as a CFD, rolling spot contract or spread bet. If you are resident of the U.K., you will need to report your capital gains trading income or losses from rolling spot forex and CFD trades. The exception is if you are trading forex as a spread bet, which is exempt from capital gains tax as it is more akin to gambling in terms of its tax treatment. In addition, other factors, such as whether you trade full time and the amount of any gains/losses, may affect your potential tax obligation. It’s important to note that unrealized gains are not taxed until the trade is closed. While some traders may opt to do a self-assessment when calculating taxes, if you are not sure it is best to find a qualified accountant such as an ACCA certified or ICAEW chartered accountant.

Can you use MetaTrader 4 in the U.K.?

Yes, there are numerous FCA-regulated forex brokers in the U.K. that offer the MetaTrader platform suite, including MetaTrader 4 (MT4) and MetaTrader 5 (MT5) for desktop, web and mobile. Compare the best MetaTrader 4 brokers here . For example, you can use MT4 with any of the following U.K. brokers: IG, Saxo, CMC Markets, City Index, XTB, FOREX.com, Swissquote, FXCM, Pepperstone, Tickmill, FxPro, Vantage, HYCM, Eightcap and XM Group, all of which hold regulatory status with the FCA either directly or through their parent company. Some of these brokers also offer MetaTrader 5.

Best Forex Brokers in the UK for 2025

Written by Steven Hatzakis
Edited by Jeff Anberg
Reviewed by Blain Reinkensmeyer

February 27, 2025

Steven Hatzakis has been reviewing brokers for nearly ten years and has 25+ years of experience as a trader. His reviews are unbiased and independent, and his expertise is sought after for conferences and speaking events around the world. Learn more.

London accounts for more foreign exchange (forex) trading volume than anywhere else in the world. If you’re trading forex in the U.K., you’re operating in a market rich with opportunity and brimming with competition among brokers vying for your trust.

Choosing the right broker in the U.K. means prioritizing Financial Conduct Authority (FCA) regulation to ensure your funds are secure and your trades fair. I’ve meticulously tested over 20 top-tier brokers worldwide to curate this guide, ranking the best platforms for U.K. traders — whether you’re just starting, sharpening your skills, or executing advanced strategies.