The global Forex market, with its vast liquidity and accessibility, has become a hub for UK traders and investors. However, as a UK Forex trader, navigating the complex landscape of brokers can be daunting, especially with the numerous options available. Finding a reputable Forex broker that provides a secure trading environment and also adheres to the strictest regulatory standards is crucial. A key advantage for UK traders is that our Forex market is regulated by the Financial Conduct Authority (FCA). This regulation ensures that any broker operating here in the UK comply with strict guidelines to ensure trader’s funds are protected as well as wider market integrity.
IG
Pepperstone
Plus500
FxPro
CMC Markets
ActivTradesBelow you can find more information about the best forex trading platforms in the UK:
- IG delivers tight spreads and commission-free trading with 80 or so forex pairs, offering spreads as low as 0.6 pips for majors like EUR/USD and AUD/USD. Customers who set up DMA (Direct Market Access) accounts will benefit from even lower spreads from 0.165 pips for EUR/USD. Professional forex traders can access maximum leverage of up to 1:222.
- Pepperstone offers raw spreads as low as zero pips, reasonable commissions of £4.50 per standard lot, and execution speeds averaging 30 milliseconds. UK customers can pick from three main account types – Spread Betting, Standard CFD, and Razor CFD accounts.
- Plus500 enables trading with over 60 currency pairs with fixed spreads, starting from 1.2 pips for EUR/USD. Forex traders incur no additional commissions upon opening and closing their currency positions. The broker enables leveraged trading with maximum ratios for 1:30 for retail and 1:300 for professional clients.
- FxPro customers gain access to over 2,100 financial markets, including more than 70 currency pairs. The broker quotes competitive prices for forex CFDs and spread betting. Spreads for major currency pairs start from 1.2 pips with Standard MT4/MT5 accounts and 0.0 pips with Raw+ accounts, where there is a $7 (~£5.20) round-turn commission per standard lot.
- CMC Markets caters to UK customers with an impressive selection of over 330 currency pairs, tradable with spreads from 0.0 pips across all available account types (Spread Betting, CFD, and FX Active). Forex positions incur no additional commissions, as all costs are covered by the spreads and the rollover fees on overnight trades.
- ActivTrades provides spreads as low as 0.5 pips for EUR/USD and 53 other currency pairs, charging no commissions on forex trades. Customers can choose from a varied selection of account types, including Standard, Swap-Free, and Professional accounts. The broker offers a proprietary platform on top of trader-favourites like MT4, MT5, and TradingView.
Our website is dedicated to helping UK traders discover the best Forex brokers, ensuring that they have the information required to make informed decisions about their trading activities. We understand the importance of choosing the right broker, as it can significantly impact your trading experience and performance. With our comprehensive reviews and evaluations, we aim to empower you with the knowledge to select a Forex broker that aligns with your trading goals, risk tolerance, and preferences.
Methodology Used for Our Rating System
At the core of our mission is a commitment to transparency, fairness, and thoroughness in evaluating Forex brokers. Our rating methodology is designed to assess brokers based on a comprehensive set of criteria that reflect the key aspects of a trader’s experience. We understand that each trader has unique needs and priorities, and our standards are set to cater to a broad range of trading styles and preferences. Our experts conduct meticulous research, leveraging their extensive industry knowledge to provide you with unbiased, up‑to‑date reviews.
The evaluation process involves a multi-step approach, where we assess each broker based on its strengths and weaknesses, as well as its overall performance. We consider factors such as the broker’s regulatory compliance, trading conditions, platform quality, customer support, and educational resources. Our goal is to provide a balanced and informative review that highlights the broker’s advantages and disadvantages, enabling you to make an informed decision about your trading partner.
Factors We Consider During the Process of Forex Broker Evaluation
When evaluating Forex brokers, we consider a wide range of factors that are critical to a trader’s success and satisfaction. These include:
- Regulation: We verify that the broker is regulated by reputable financial authorities, such as the Financial Conduct Authority (FCA), or other recognised regulatory bodies like the Federal Financial Supervisory Authority (BaFin) in Germany, the Securities and Exchange Commission in Cyprus (CySEC), or the Australian Securities and Investments Commission (ASIC) in Australia.
Regulation ensures that the broker operates under strict guidelines, protecting traders’ funds and providing a level of security and trust. We also assess the broker’s compliance with anti-money laundering (AML) and know-your-customer (KYC) regulations, which are essential for preventing fraudulent activities and ensuring the integrity of the financial system.
- Broker Reputation: The reputation of a broker is a key indicator of its reliability and trustworthiness. We assess reviews, ratings, and feedback from existing clients, as well as the broker’s history of operations, to gauge its standing in the market. We also evaluate the broker’s transparency, including their willingness to disclose information about their business practices, trading conditions, and conflict of interest policies. A broker with a strong reputation and transparent business practices is more likely to provide a secure and trustworthy trading environment.
- Variety of Tradable Markets and Instruments: The diverse range of tradable markets and instruments is essential for traders looking to explore different asset classes. We evaluate the breadth of offerings, including Forex pairs, commodities, indices, stocks, and ETFs, to ensure that the broker can accommodate various trading strategies. We also assess the quality of the broker’s market data, including real-time quotes, charts, and news feeds, which are critical for making informed trading decisions.
The availability of spread betting is equally important to use. Profits from spread betting are completely free from Capital Gains Tax and Stamp Duty, making it a highly tax-efficient way to trade financial markets compared to traditional investing. This tax exemption on gains and the absence of transaction taxes represent a significant advantage for investors using spread betting as part of their trading strategy
- Trading Platforms: The trading platform is the gateway to the markets, and its quality can significantly impact a trader’s experience. We assess the platform’s usability, features, and performance, including mobile trading capabilities, to ensure that it meets the needs of both beginner and advanced traders.
We evaluate the platform’s execution speed, slippage, and reliability, as well as its charting and analytical tools, to determine its overall effectiveness. We also consider the broker’s support for third-party platforms, such as MetaTrader or cTrader, which can provide additional features and functionality.
- Additional Services: For many traders, the ability to engage in social trading, copy trading, or use advanced trading tools can be a decisive factor. We look at the availability and quality of these services, recognising their potential to enhance trading outcomes and community engagement.
We assess the broker’s social trading platform, including its features, usability, and community engagement, to determine its value to traders. We also evaluate the broker’s copy trading services, including the quality of the signal providers, the transparency of the trading strategies, and the overall performance of the copied trades.
- Trading Cost: Trading costs, including spreads, commissions, and overnight fees, can eat into a trader’s profits. We analyse the broker’s pricing model, comparing it with industry standards to help traders understand the overall expenses they would incur. We also evaluate the broker’s fee structure, including any inactivity fees, withdrawal fees, or other charges, to ensure that traders are aware of all associated costs. We consider the broker’s price transparency, including their willingness to disclose all fees and charges, to determine their fairness and competitiveness as a whole.
- Educational Tools: Education is key to trading success, and brokers that provide comprehensive educational resources demonstrate a commitment to their clients’ growth. We evaluate the quality and range of the educational materials, including webinars, tutorials, and market analysis, to determine their usefulness and relevance to traders.
We evaluate the broker’s educational platform, including its usability, features, and content, to ensure that it meets the needs of both beginner and advanced traders. We also consider the broker’s support for ongoing education, including regular webinars, workshops, and trading events, to assess their commitment to their clients’ long-term success.
- Payments: The ease and security of depositing and withdrawing funds are critical aspects of a trader’s experience. We assess the broker’s payment options, including credit cards, bank transfers, and e-wallets, to ensure that they are convenient and secure. We evaluate the broker’s payment processing times, including deposit and withdrawal timeframes, to determine their efficiency and reliability. We also consider the broker’s payment security, including their use of encryption, two-factor authentication, and other security measures, to ensure that traders’ funds are protected.
- Customer Support: Effective customer support is essential for resolving issues promptly and ensuring a positive trading experience. We test the broker’s support channels, including live chat, email, and phone support, to evaluate their responsiveness and helpfulness.
We pay attention to the broker’s support team, including their knowledge and professionalism, to determine their ability to assist traders with their queries and concerns. We also consider the broker’s support for multiple languages to ensure that traders can communicate effectively with the team.
Regularly Updated Reviews Ensuring Up-to-Date and Relevant Information
The Forex trading landscape is dynamic, with brokers continually updating their services, regulatory environments evolving, and new technologies emerging. To ensure that our reviews remain relevant and useful, we regularly update our assessments to reflect any changes in the brokers we cover. Our experts monitor industry developments, updates from regulatory bodies, and feedback from traders to maintain the accuracy and relevance of our reviews.
We recognise that the Forex market is highly dynamic, and today’s top-rated brokers might not hold the same position tomorrow. Therefore, we continually reassess and re-evaluate the brokers we review to ensure that our ratings and recommendations remain current and on point.
Types of Forex Accounts Available to UK Traders
For new traders, stepping into the world of Forex trading can feel overwhelming, especially when it comes to selecting the right type of account. With a wide range of options available, it is crucial to understand the key differences between them. Each account type is designed to suit various trading styles, experience levels, and strategies, so choosing the right one can make a significant impact on your overall success.
Demo Accounts: A Risk-Free Trading Environment
Demo accounts allows traders to practice trading with virtual funds, without risking real money. These accounts are ideal for beginners or those testing new strategies, as they provide a simulated trading environment with real-time market data and trading conditions.
Micro and Mini Accounts: A Great Starting Point for UK Traders
Micro and mini accounts cater to those looking to start trading with minimal risk. Micro accounts typically require a lower deposit, usually around £100, and offer smaller position sizes of about 0.01 lots (1,000 units), making them ideal for those who want to trade with less capital.
Mini accounts, on the other hand, require a slightly higher deposit, usually around £1,000, and offer larger position sizes (0.1 lots = 10,000 units) than micro accounts. Both types are perfect for traders who are new to the Forex market or want to test their strategies with smaller amounts of capital.
Standard Accounts: A Traditional Trading Experience
Standard accounts offer traditional trading conditions, making them suitable for most traders. These accounts typically require a higher deposit and offer trading in standard lots (1 lot = 100,000 units). Standard accounts are designed for people who want to trade larger amounts and are looking for a more traditional experience. They often come with a range of features, including access to multiple currency pairs, technical analysis tools, and trading platforms. By using a standard account, UK residents can trade with larger positions, take advantage of tighter spreads, and enjoy more flexible trading conditions.
Raw Accounts: A Professional Trading Experience
Raw accounts offer direct market access, with raw spreads and low commissions. These accounts typically require a higher deposit, usually £500 to £1,000, and offer tighter spreads and lower commissions. They often come with a range of features, including access to multiple currency pairs, technical analysis tools, and trading platforms. Raw accounts are ideal for professionals who want to trade with a high degree of flexibility and control, and are looking for a more transparent and efficient trading experience.
Swap-Free Accounts: A Solution for UK Traders with Religious or Ethical Concerns
Swap-free accounts are designed for traders with religious or ethical concerns about earning interest on their overnight positions. These accounts are also known as Islamic accounts, as they comply with Islamic trading principles. Swap-free accounts do not charge overnight swaps or rollover fees, making them ideal for traders who want to trade without earning interest on their positions.
It should be noted that some Forex brokers restrict their swap-free account offerings only to countries with a predominantly Islamic population, meaning the UK is often excluded from the list of supported countries.
Order Execution Models
A critical aspect of how Forex brokers operate is their order execution model, which determines how trades are processed and can significantly impact trading outcomes. The primary order execution models adopted by UK Forex brokers are Dealing Desk (DD) and No Dealing Desk (NDD). Understanding these models is essential for traders to make informed decisions about which broker to use.
Dealing Desk (DD) Brokers
Dealing Desk brokers, also known as “market makers”, provide liquidity to their clients and often take the opposite side of their trades. This model allows for tighter spreads but can also result in conflict of interest, as the broker’s profit is directly tied to the client’s loss. DD brokers can manage their risk by hedging client positions in the interbank market or by taking the risk themselves.
No Dealing Desk (NDD) Brokers
NDD brokers do not take the opposite side of client trades and instead route orders directly to their liquidity providers. This model is designed to eliminate the conflict of interest and provide traders with direct access to market prices. NDD brokers typically charge a commission on each trade and may offer variable spreads that reflect current market conditions. Typically, there are two subcategories of NDD brokers, with each having its own specific features.
- STP (Straight Through Processing) Brokers
STP brokers are a subset of NDD brokers but are often discussed in the context of DD models due to their hybrid nature. They route client orders directly to their liquidity providers, which can include banks, other brokers, or hedge funds, without intervening. This approach aims to reduce conflict of interest and can offer faster execution speeds. However, the broker may still charge a markup on the spread or a commission. STP brokers essentially act as intermediaries, connecting traders with liquidity providers, and their business model is based on volume, aiming to profit from the spread difference and commissions.
- ECN (Electronic Communication Network) Brokers
ECN brokers are a type of NDD broker that uses electronic communication networks to provide traders with direct access to other market participants, such as banks, institutions, and individual traders. ECNs aggregate buy and sell orders from various market participants and display the best available prices. This model is known for its transparency, as customers can see the depth of the market and trade anonymously. ECN brokers usually charge a commission and offer very tight spreads, especially during liquid market hours. The ECN model promotes competition among liquidity providers, which can lead to better prices for traders.
Popular Order Types Available to UK Forex Traders
The foreign exchange market offers multiple trading opportunities, and UK Forex traders, like their global counterparts, utilise various order types to manage risk, capitalise on market movements, and achieve their investment goals. Understanding the different order types is essential for navigating the Forex market effectively. This section delves into the popular order types available to UK Forex traders, exploring their characteristics, advantages, and applications.
Market Orders
A market order is the most basic and widely used order type. It instructs the broker to buy or sell a currency pair at the current market price. Market orders are executed immediately, providing traders with quick entry into or exit from the market. However, since market orders are filled at the best available price, traders may experience slippage, especially during volatile market conditions. Traders often use market orders for scalping strategies or when they need to enter a trade quickly.
Limit Orders
Limit orders allow traders to specify the price at which they want to buy or sell a currency pair. A buy limit order is executed at the specified price or lower, while a sell limit order is executed at the specified price or higher. Limit orders provide traders with control over the price they pay or receive for a currency pair but do not guarantee execution. If the market does not reach the specified price, the order will not be fulfilled. Traders use limit orders to set profit targets or to enter trades at more favourable prices.
Stop Orders
Stop orders (or stop-loss orders) are used to limit potential losses or protect profits by automatically triggering a trade when a predetermined price level is reached. A stop order becomes a market order when the specified price (stop price) is reached. For example, a stop-loss order can be set below the current price to sell a currency pair if it falls to that level, limiting potential losses. Conversely, a stop-limit order combines the features of a stop order and a limit order, allowing traders to specify both a stop and a limit price. Traders often use stop orders as part of their risk management strategy to protect themselves against significant losses.
Take Profit Orders
Take profit orders are used to lock in profits when a trade reaches a certain level of profitability. They are essentially limit orders used to close a trade at a specified price, which is more favourable than the current market price. Take profit orders are particularly useful for traders who are not constantly monitoring the markets, as they automatically close positions when the target profit is achieved. Traders tend to use the take profit order type to realise gains and manage their trading performance effectively.
Trailing Stop Orders
Trailing stop orders are a type of stop order that moves in the direction of the trade as the market price moves in favour of the trader. The stop price is adjusted based on a specified percentage or a fixed amount, allowing the stop to “trail” the price movement. This order type helps to lock in profits while still allowing for potential further gains. Trailing stop orders are popular among traders who want to maximise their profits without constantly adjusting their stop-loss levels manually.
OCO (One Cancels the Other) Orders
OCO orders combine two orders on condition that if one order is executed, the other is automatically cancelled. This is useful for traders who want to set both a take profit and a stop loss but only want one of them to be executed. For example, an OCO order can be set with a limit order to take profit and a stop order to limit loss. When either of these orders is filled, the other is cancelled. Traders use OCO orders to simplify their trading and reduce the need for constant market monitoring.
Popular Forex Trading Platforms
UK traders have access to a variety of advanced Forex trading platforms, each offering unique features and benefits. Among the most popular platforms are MetaTrader 4 (MT4) and MetaTrader 5 (MT5), cTrader, TradingView, and in-house broker platforms. Here’s an overview of these platforms and their features:
- MetaTrader 4 (MT4) and MetaTrader 5 (MT5): Developed by MetaQuotes, MT4 and MT5 are two of the most widely used Forex trading platforms in the world. MT4 is a well-established platform that offers advanced technical analysis tools, automated trading, and a user-friendly interface. MT5, on the other hand, is a more advanced platform that offers additional features such as hedging, more technical indicators, and a more intuitive interface. Many UK-friendly brokers offer MT4 and MT5 to their clients.
- cTrader: This is a professional Forex trading platform developed by Spotware Systems. It is known for its fast execution speeds, advanced charting tools, and automated trading capabilities. The cTrader platform offers a more streamlined and intuitive interface compared to MT4 and MT5, making it a popular choice among traders who value speed and efficiency.
- TradingView: TradingView is a cloud-based platform that offers advanced technical analysis tools, real-time market data, and a social trading community. While not a traditional Forex trading platform, TradingView allows traders to connect to their broker accounts and trade directly from the platform. TradingView is known for its advanced charting tools, customisable indicators, and alerts, making it a popular choice among traders who want to stay on top of market trends.
- In-House Broker Platforms: Many UK brokers have developed their own in-house trading platforms, which offer a unique set of features and benefits. Many brokers offer advanced trading platforms that integrate with their own systems, providing traders with a seamless and efficient trading experience. In-house platforms can offer advanced technical analysis tools, easy automated trading, and a more intuitive interface, making them a popular choice among traders who value convenience and flexibility.
When choosing a Forex trading platform, traders should consider factors such as ease of use, technical analysis tools, automated trading capabilities, and customer support. It is also essential to choose a reputable and regulated broker that offers a reliable and secure trading environment. In terms of mobile trading, many of these platforms offer mobile apps, allowing traders to access the markets and manage their accounts on the go.
Broker’s Average Execution Speed on MetaTrader 5 Platform
Spreads, Commissions, and Other Trading and Non-Trading Fees
As a UK Forex trader, it is essential to understand the various charges and fees associated with trading at different brokers. These charges can significantly impact your trading performance and overall profitability. Here is a comprehensive overview of the typical charges you may encounter at different brokers:
Spreads
The spread is the difference between the bid and ask prices of a currency pair. It is a primary source of revenue for brokers, and can vary significantly depending on the broker, market conditions, and the type of account you hold. For example, a broker may offer a spread of 1.5 pips on the EUR/USD pair for a standard account, while a premium account may offer a spread of 0.5 pips. Some brokers may also offer fixed spreads, which remain constant regardless of market conditions, while others may offer variable spreads, which can fluctuate depending on market volatility.
Commissions
Some brokers charge commissions, which can be a fixed amount per trade or a percentage of the trade size. For example, a broker may charge a commission of £5 per trade or 0.1% of the trade size. Typically, the commission rate specified by a broker applies to orders of a single standard lot (100,000 units). Commissions can be charged on both opening and closing trades, and they can add up quickly, especially for frequent traders.
Overnight Swaps
Overnight swaps, also known as rollover fees, are charges applied to positions held overnight. These fees are calculated based on the interest rate differential between the two currencies in a pair and can be either positive or negative. For example, if you hold a long position in the EUR/USD pair, you may be charged a negative swap fee, while a long position on the USD/JPY pair may earn a positive swap fee. Overnight swaps can be a significant cost for traders who hold positions for extended periods.
Administrative Fees
Some brokers offer swap-free accounts, which eliminate overnight swap fees. However, these accounts often come with administrative fees, which can be a percentage of the account balance or a fixed amount per day. For example, a broker may charge a fee of £5 per day. Administrative fees can be a more transparent and predictable alternative to overnight swaps, but they can still add up over time.
Deposit and Withdrawal Fees
Many brokers charge fees for depositing and withdrawing funds from your trading account. These fees can be a percentage of the transaction amount or a fixed amount per transaction. For example, a broker may charge a deposit fee of 2% on credit card deposits or a withdrawal fee of £20 per transaction. Many UK Forex brokers may also offer free deposits and withdrawals for certain payment methods or account types.
Inactivity Fees
Inactivity fees, also known as dormancy fees, are charges applied to accounts that have been inactive for a specific period. These fees can be a fixed amount per month or a percentage of the account balance. For example, a broker may charge an inactivity fee of £10 per month or 1% of the account balance per quarter. Inactivity fees can be a significant cost for people who do not trade frequently or who have abandoned their accounts.
VPS Subscriptions
Some brokers offer Virtual Private Server (VPS) subscriptions, which allow traders to run automated trading strategies on a remote server. VPS subscriptions can be a monthly or annual fee, and they can range from £20 to £100 per month, depending on the broker and the level of service. VPS subscriptions can be a valuable tool for traders who use automated trading strategies, but they can also add to the overall cost of trading.
Brokers Compared by Spread
UK Forex Brokers Regulation
It is crucial for UK traders to prioritise the safety and security of their investments when selecting a Forex broker. With the numerous options available, it can be overwhelming to determine which broker is reliable and trustworthy. One of the most critical factors to consider is the broker’s regulatory status. A properly regulated Forex broker provides a safe and secure environment for traders to operate, protecting them from potential scams, fraud, and financial losses.
Main Regulators for UK Forex Traders
To ensure that a Forex broker is properly regulated, UK traders should look for brokers that are licensed and regulated by reputable authorities. While it is recommended to always opt for FCA-regulated companies, if UK traders choose brands operating under offshore regulators, it is always good to pick brokers licensed by tier-1 authorities. The following are some of the main bodies that indicate a broker is properly regulated:
- FCA (Financial Conduct Authority): The FCA is the primary financial regulatory authority in the United Kingdom, responsible for regulating and overseeing financial institutions, including Forex brokers. An FCA-regulated broker demonstrates a high level of compliance with UK financial regulations, which are also very similar to the ones imposed by tier-1 regulatory bodies in Europe.
- BaFin (Bundesanstalt für Finanzdienstleistungsaufsicht): As the primary financial regulatory authority in Germany, BaFin is responsible for overseeing and regulating financial institutions, including Forex brokers. A BaFin-regulated broker demonstrates compliance with German financial regulations and provides a high level of protection for traders.
- CySEC (Cyprus Securities and Exchange Commission): As an EU-based regulator, CySEC is a well-respected financial watchdog that oversees Forex brokers operating in Cyprus. CySEC-regulated brokers are required to adhere to strict guidelines and regulations, ensuring a safe trading environment. UK traders can trust CySEC-regulated brokers as they follow the same set of rules that FCA brokers are required to abide by.
- ASIC (Australian Securities and Investments Commission): As the primary financial regulatory authority in Australia, ASIC is responsible for regulating and overseeing financial institutions, including Forex brokers. The reason why UK brokers can trust an ASIC-regulated broker is the similar regulatory framework that resembles the regulations adopted by many European tier-1 regulators.
Why Regulation Matters
Choosing a properly regulated Forex broker is essential because it provides:
- Protection from scams and fraud: Regulated brokers are subject to regular audits and inspections, reducing the risk of scams and fraud.
- A secure trading environment: Properly licensed brokers are required to implement robust security measures to protect traders’ personal and financial information.
- Fair trading practices: Regulated brokers are required to adhere to fair trading practices, ensuring that traders are treated fairly and transparently.
- Compensation schemes: Licensed brokers often participate in compensation schemes, which provide traders with protection in the event of broker insolvency.
Security and Investor Protection
Security and investor protection are of paramount importance when it comes to trading with UK Forex brokers. The UK financial regulatory framework is designed to provide a high level of protection to investors, ensuring that their funds are safe. In this section, we delve into the key factors that contribute to the security and investor protection offered by UK Forex brokers, including negative balance protection, funds segregation, and investor compensation schemes.
- Negative Balance Protection: Negative balance protection is a crucial feature that protects traders from incurring losses that exceed their account balance. This means that if a trader’s account balance becomes negative due to a trade going against them, the broker will automatically close the trade and limit the loss to the amount of money in the account. This feature is particularly important for traders who use leverage, as it can help prevent significant losses.
In the UK, negative balance protection is mandatory for all Forex brokers regulated by the Financial Conduct Authority (FCA). This regulatory requirement ensures that traders are protected from excessive losses and provides an additional layer of security for their investments.
- Funds Segregation: Funds segregation is another critical aspect of investor protection in the UK. This means that Forex brokers are required to keep their clients’ funds separate from their own operational funds. This segregation ensures that client funds are not used for the broker’s business activities, such as paying salaries or covering operational expenses.
In the event of a broker’s insolvency, funds segregation ensures that client funds are protected and can be returned to customers. UK Forex brokers are required to hold client funds in segregated accounts with reputable banks like Lloyds, which provides an additional layer of security and protection for investors.
- Investor Compensation Schemes: In the United Kingdom, investor protection in the event of a broker’s insolvency is provided through the Financial Services Compensation Scheme (FSCS). The FSCS is the UK’s statutory compensation scheme for customers of authorised financial services firms, offering a safety net if a broker fails to return client funds.
Under current FSCS rules, eligible retail clients are entitled to claim compensation of up to £85,000 per person, per firm. This level of protection helps safeguard client money held with UK-regulated Forex brokers that are authorised by the Financial Conduct Authority (FCA).
The scheme is funded by levies on FCA-authorised firms and is an essential layer of protection designed to instil trust and confidence in the UK’s financial markets.