CFD Brokers In The UK

CFD brokers in the UK are popular with British traders. Low fees, high leverage rates and robust regulation attract both beginners and experienced investors. As well as a list of the best UK CFD brokers, we explain how to make your own comparison, considering spreads, FCA licensing, minimum deposits and more.

UK CFD Brokers

  1. AvaTrade - AvaTrade's 1250+ leveraged CFD products span a wide range of asset classes including stocks, indices, commodities, bonds, crypto, and ETFs. You can speculate on underlying assets in the broker’s feature-rich web and mobile platforms with market-leading research tools to help discover opportunities.
  2. XTB - There's a large suite of 2100 CFDs available to trade on a proprietary trading terminal. You can diversify across forex, indices, commodities, cryptos, stocks and ETFs. There are also plenty of CFD trading resources and tutorials available from the broker's education section.
  3. CMC Markets - CMC lets you trade CFDs on 12,000+ assets across currencies, indices, commodities, shares, ETFs and treasuries. Spreads are relatively tight, there are no hidden fees and the industry-leading MetaTrader 4 platform is also supported for leveraged trading. Year after year, CMC shines as one of the best CFD brokers in the market.
  4. Eightcap - Eightcap offers over 800 CFDs on popular indices, shares, forex, cryptos and commodities. The firm also offers more choice than some competitors in terms of platforms with MT4, MT5 and TradingView, though this does depend on jurisdiction.
  5. FXCC - FXCC offers a narrow range of CFDs beyond forex with a limited selection of metals, energies, indices and cryptos. However, it stands out with its high leverage up to 1:500, which will serve experienced day traders looking to maximize their buying power while speculating on rising and falling prices.

CFD Brokers In The UK Comparison

CFD Brokers In The UK Comparison
Broker CFD Leverage Minimum Deposit Minimum Trade Regulators Visit
AvaTrade logo
1:30 (Retail) 1:400 (Pro) $100 0.01 Lots ASIC, CySEC, FSCA, ISA, CBol, FSA, FRSA, BVI, ADGM Visit
XTB logo
1:30 $0 0.01 Lots FCA, CySEC, IFSC, KNF, DFSA Visit
CMC Markets logo
1:30 (Retail), 1:500 (Pro) $0 0.01 Lots FCA, ASIC, MAS, CIRO, BaFin, FMA, DFSA Visit
Eightcap logo
1:30 $100 0.01 Lots FCA, ASIC, CySEC, SCB Visit
FXCC logo
1:500 $0 0.01 Lots CySEC Visit
Spreadex logo
1:30 £0 £0.01 FCA Visit
Pepperstone logo
1:30 (Retail), 1:500 (Pro) $0 0.01 Lots FCA, ASIC, CySEC, DFSA, CMA, BaFin, SCB Visit
Interactive Brokers logo
1:50 $0 $100 FCA, SEC, FINRA, CBI, CIRO, SFC, MAS, MNB Visit
XM logo
1:30 $5 0.01 Lots ASIC, CySEC, DFSA, FSC, FSCA Visit
CityIndex logo
1:30 (Retail), 1:50 (Accredited Investor), 1:200 (Sophisticated Investor), 1:300 (Wholesale Investor), 1:400 (Professional Trader). Varies with jurisdiction. $0 0.01 Lots ASIC, FCA, MAS Visit
DNA Markets logo
1:500 $100 0.01 Lots ASIC Visit
InstaForex logo
1:30 for retail clients, 1:500 for professional $1 0.10 of the lot (0.0001 of market lot for Cent.Standard and Cent.Eurica) BVI FSC Visit
LQDFX logo
1:1000 $20 0.01 Lots - Visit
Trade Nation logo
1:500 (entity dependent) $0 0.1 Lots FCA, ASIC, FSCA, SCB, FSA Visit
eToro logo
1:30 $50 $10 FCA, ASIC, CySEC, FSA, FSRA, MFSA Visit

#1 - AvaTrade

Why We Chose AvaTrade

AvaTrade's 1250+ leveraged CFD products span a wide range of asset classes including stocks, indices, commodities, bonds, crypto, and ETFs. You can speculate on underlying assets in the broker’s feature-rich web and mobile platforms with market-leading research tools to help discover opportunities.

"AvaTrade offers the full package for short-term traders. There is powerful charting software, reliable execution, transparent fees, and fast account opening with a low minimum deposit."

- DayTrading Review Team
  • FTSE Spread: 0.5
  • GBPUSD Spread: 1.5
  • Stocks Spread: 0.13
  • Leverage: 1:30 (Retail) 1:400 (Pro)
  • Regulator: ASIC, CySEC, FSCA, ISA, CBol, FSA, FRSA, BVI, ADGM
  • Platforms: WebTrader, AvaTradeGO, AvaOptions, MT4, MT5, AlgoTrader, TradingCentral, DupliTrade

About AvaTrade

AvaTrade is a leading forex and CFD broker, established in 2006 and regulated across 9 jurisdictions. Over 400,000 users have signed up with the broker which processes over 2 million trades each month. The firm offers multiple trading platforms, including MT4, MT5, and a proprietary WebTrader. 1250+ financial instruments are available for day trading, alongside a comprehensive education center and multilingual customer support.

Pros

  • The broker’s unique risk management tool, AvaProtect, protects against losses up to $1 million and is easy to activate in the platform
  • AvaTrade is a heavily regulated and trustworthy broker with licenses from the ASIC, CySEC and more
  • The broker offers reliable 24/5 multilingual customer support with fast response times during testing

Cons

  • A high $2000 minimum investment is required to use DupliTrade, which will be out of reach for many beginners
  • Traders from the US are not accepted
  • It’s a shame that there are no rebate schemes for serious traders looking for additional perks - CMC Markets would be a better choice here

#2 - XTB

Why We Chose XTB

There's a large suite of 2100 CFDs available to trade on a proprietary trading terminal. You can diversify across forex, indices, commodities, cryptos, stocks and ETFs. There are also plenty of CFD trading resources and tutorials available from the broker's education section.

"XTB is a great option for beginners with a user-friendly platform, no minimum deposit and low short-term trading fees. The free education center is also a bonus, as well as the straightforward account opening process."

- DayTrading Review Team
  • FTSE Spread: 0.08%
  • GBPUSD Spread: 0.1
  • Stocks Spread: 0.2%
  • Leverage: 1:30
  • Regulator: FCA, CySEC, IFSC, KNF, DFSA
  • Platforms: xStation

About XTB

XTB is one of the largest stock exchange-listed forex and CFD brokers in the world, offering access to over 5800 day trading markets on their xStation platform. They boast 700,000 active traders, 20 years experience and authorization from tier-one regulators, including the UK's FCA.

Pros

  • The broker is FCA, KNF, CySEC, and IFSC-regulated and has been in operation for over 20 years
  • Day traders and stock investors can access a huge range of 5800+ markets via CFDs and real stocks
  • There's a wide range of useful educational resources for beginners, including platform tutorials and forex guides

Cons

  • There are no third-party research tools available, such as AutoChartist or Trading Central
  • Withdrawals below $50 incur a $30 fee at the international entity
  • The broker's single platform offering is very limiting compared to the multiple terminals offered by many competitors

#3 - CMC Markets

Why We Chose CMC Markets

CMC lets you trade CFDs on 12,000+ assets across currencies, indices, commodities, shares, ETFs and treasuries. Spreads are relatively tight, there are no hidden fees and the industry-leading MetaTrader 4 platform is also supported for leveraged trading. Year after year, CMC shines as one of the best CFD brokers in the market.

"With advanced charting tools and an extensive range of tradable CFDs, including an almost unrivalled selection of currencies and custom indices, CMC Markets provides a fantastic online platform for traders of all levels. "

- DayTrading Review Team
  • FTSE Spread: 1 pt
  • GBPUSD Spread: 0.9
  • Stocks Spread: 0.02
  • Leverage: 1:30 (Retail), 1:500 (Pro)
  • Regulator: FCA, ASIC, MAS, CIRO, BaFin, FMA, DFSA
  • Platforms: Web, MT4

About CMC Markets

Established in 1989, CMC Markets is a respected broker listed on the London Stock Exchange and authorized by several tier-one regulators, including the FCA, ASIC and CIRO. More than 1 million traders from around the world have signed up with the multi-award winning brokerage.

Pros

  • CMC offers excellent pricing, including tight spreads and low trading fees for all but stock CFDs. The Alpha scheme also offers perks for high-volume traders with up to 28.6% discounts on spreads.
  • CMC Markets is heavily regulated by reputable financial authorities and maintains its stellar reputation, helping to ensure a secure and trustworthy trading environment.
  • The web platform delivers a fantastic user experience with advanced charting tools for day trading and customizable features, catering to both beginners and experienced traders. MT4 (but not MT5) is also supported.

Cons

  • Trading stock CFDs incurs a relatively high commission, especially compared to the cheapest brokers like IC Markets.
  • Despite improvements, the web platform still requires enhancements to make it as intuitive to trade on as software from rivals like IG.
  • While CMC offers an above-average suite of assets, there is no support for trading real stocks and UK clients can’t trade cryptocurrencies.

#4 - Eightcap

Why We Chose Eightcap

Eightcap offers over 800 CFDs on popular indices, shares, forex, cryptos and commodities. The firm also offers more choice than some competitors in terms of platforms with MT4, MT5 and TradingView, though this does depend on jurisdiction.

"Eightcap is great for day traders familiar with MT4 and MT5 and looking to trade forex and CFDs in a secure environment. The brand is also a great pick for crypto traders with 100+ derivatives, a sophisticated market scanner, plus Bitcoin and Tether deposits."

- DayTrading Review Team
  • FTSE Spread: 1.2
  • GBPUSD Spread: 1.0
  • Stocks Spread: 0.03 (Apple Inc)
  • Leverage: 1:30
  • Regulator: FCA, ASIC, CySEC, SCB
  • Platforms: MT4, MT5, TradingView

About Eightcap

Eightcap have a global presence and are FCA regulated. They boast low day trading fees and are the highest rated brand by TradingView users - and users can trade directly from TradingView. New traders can also sign up for a live account in just a few minutes with £100.

Pros

  • 100+ crypto derivatives are available for global clients, which is more than most brokers, including crypto crosses and indices
  • Raw spreads from 0.0 pips and a low $3.5 commission will appeal to active traders
  • Crypto Crusher market scanner with sentiment indicators, news and short term trading signals for global clients

Cons

  • There are only four commodities available, which may disappoint experienced day traders looking to diversify their portfolios
  • There are several frustrating jurisdictional restrictions - for example, the Crypto Crusher tool is not available for UK or Australian clients
  • The demo account can only be extended upon request

#5 - FXCC

Why We Chose FXCC

FXCC offers a narrow range of CFDs beyond forex with a limited selection of metals, energies, indices and cryptos. However, it stands out with its high leverage up to 1:500, which will serve experienced day traders looking to maximize their buying power while speculating on rising and falling prices.

"FXCC continues to prove itself an excellent option for forex day traders with an extensive range of 70+ currency pairs, ultra-tight spreads from 0.0 pips during testing, and high leverage up to 1:500 in the ECN XL account. "

- DayTrading Review Team
  • FTSE Spread: Variable
  • GBPUSD Spread: 1.0
  • Stocks Spread: NA
  • Leverage: 1:500
  • Regulator: CySEC
  • Platforms: MT4

About FXCC

FXCC is an established broker that’s been offering low-cost online trading since 2010. Registered in Nevis and regulated by the CySEC, it stands out for its ECN trading conditions, no minimum deposit and smooth account opening that takes less than 5 minutes.

Pros

  • Competitive and transparent ECN spreads from 0.0 pips with zero commissions, making FXCC one of the cheapest forex brokers
  • As an MT4 broker, FXCC offers advanced charting tools and excellent support for algo traders, especially when combined with the free VPS
  • There are no deposit fees except industry-standard mining charges on cryptos, which is advantageous for active traders

Cons

  • High withdrawal fees may catch out unsuspecting traders, including a significant $45 charge for bank wire payments
  • While the range of currency pairs exceeds most alternatives, the selection of additional assets is narrow, and notably, there are no stocks
  • FXCC’s single platform offering is a major drawback compared to many alternatives, notably AvaTrade which provides 5 platforms to suit different trader preferences

What Is A CFD Broker?

CFD Trading is a very popular way to speculate on price movements of assets, like stocks. A Contract for Difference is an agreement between an investor and a CFD broker to pay the difference between the opening price and closing price of a certain asset, such as a UK stock. Crucially, traders do not own the underlying asset.

Let’s look at an example: You want to open a position on 10 shares with an asking price of £100 each. To own these underlying shares, the cost to an investor would be £1,000. However, with most CFD brokers in the UK, the cost to open a leveraged position is usually between 5% and 20% of the ask price – giving traders exposure to the full value of the asset without putting up the total amount or taking ownership of the shares.

Top CFD brokers in UK

CFD brokers in the UK are particularly popular with day traders offering low costs and straightforward access to major financial markets. With that said, CFDs can also be used by longer-term investors though it’s important to use risk management techniques, such as stop losses.

How UK CFD Brokers Work

CFD brokers in the UK offer a platform where clients can choose from a list of assets, analyse the markets, and take positions. A series of instant and pending orders are usually offered alongside a suite of charts, drawing tools and other analysis features.

Most CFD brokers offer in the UK offer trading on currency pairs with the GBP, equities listed on the FTSE, plus precious metals and energies. Note, the FCA has banned CFD brokers in the UK from offering derivatives on cryptocurrencies like Bitcoin. As a result, traders from the UK will need to turn to offshore, unregulated platforms to find these instruments.

How To Compare CFD Brokers In The UK

Important areas to consider when choosing CFD brokers in the UK include:

Fees

Your chosen asset will need to increase in value by the spread amount for you to break even. In the UK, spreads on popular FX pairs such as the GBP/USD and GBP/EUR are generally between 1-2 pips. Users should also be aware of other charges such as overnight holding fees, withdrawal fees and commissions.

The best CFD brokers in the UK will charge zero sign-up fees, but there will typically be a minimum deposit requirement – which can be as little as £10 or even £0.

Leverage

Another reason CFD trading is popular in the UK is the access to leverage. Leverage is a temporary loan given to the trader by the broker which offers exposure to greater gains, but also higher losses.

Leverage is limited by the FCA (Financial Conduct Authority) to between 1:2 and 1:30. With some CFD brokers in the UK, once you have qualified for a professional account, you can access leverage up to 1:500.

Markets

CFD brokers in the UK offer access to different markets. Most platforms offer forex pairs, equities and indices, however, the range of each will vary. For example, the top providers will offer a long list of minor and exotic pairs. The best CFD brokers in the UK will also offer access to both the FTSE 100 and sometimes the FTSE 250.

Be wary of platforms offering CFDs on cryptos as these are banned in the UK and may be an indication that the brokerage isn’t licensed.

UK Regulation

The financial regulatory body in the UK is the Financial Conduct Authority (FCA). When choosing CFD brokers in the UK, be sure to opt for one that is fully compliant with FCA regulations.

The FCA protects retail investors with measures such as the separation of investor’s money from the broker’s capital and access to the Financial Ombudsman Service and the Financial Services Compensation Scheme.

FCA

Bonuses

Some CFD brokers in the UK offer rewards such as deposit bonuses and promo codes for new users. Be wary of gimmicks designed to lure in new investors. The FCA has also clamped down on misleading promotions so finding platforms with generous offers is getting harder.

Accounts

Most CFD brokers in the UK offer a variety of live accounts. Traders that can prove their experience or have a certain amount of capital can open more competitive accounts with tighter spreads, higher leverage ratios and additional analysis tools. The top CFD brokers in the UK may also offer dedicated account managers for those with a professional investing account.

Platforms

CFD brokers in the UK typically offer a choice of platforms, with the most popular options including MetaTrader 4, MetaTrader 5, and cTrader.

Finding an intuitive and user-friendly platform will make speculating on the markets an enjoyable experience. Depending on the frequency and style of your trading, different platforms will also suit your needs better. Compare features such as signals, charts and automated trading options before deciding which platform is best for you.

Mobile Apps

One of the easiest ways to keep your eyes on the markets at crucial times is by using a mobile app. Many CFD brokers in the UK have designed their own applications which give traders the same functionality as traditional desktop platforms in the palm of their hand. These apps are typically available for Android from the Google Play Store and for Apple devices from the App Store. Alternatively, MT4 and MT5 mobile apps are offered alongside proprietary software.

Online CFD brokers in UK

Tools

Many CFD brokers in the UK offer an extensive range of tutorials, seminars and workshops aimed at improving your investing skills and market knowledge. For beginners, in particular, these are worth looking out for when choosing between providers.

Customer Support

It’s important to find CFD brokers in the UK with reliable customer support. Platforms with 24/5 live chat and responsive telephone support will help you resolve technical issues or withdrawal problems promptly. It’s worth checking user reviews for ratings on the quality of customer support before signing up.

Deposits & Withdrawals

Most CFD brokers in the UK allow traders to pay fees and deposit using a range of payment options. Typical options include credit/debit card, bank transfer, PayPal and e-wallets such as Skrill. When deciding which broker is best suited to your needs, decide first how you intend to pay and make a comparison with this in mind.

Final Word On UK CFD Brokers

CFD brokers in the UK offer a range of options in terms of fees, market access, leverage and more. There is a lot of competition, so ensure you take the time to make a thorough comparison of the platforms available and decide which is best for you. Also note that many CFD brokers in the UK offer demo accounts, which are a great way for beginners to get to grips with the services on offer before committing capital.

FAQs

What Is The Best CFD Broker In UK?

When comparing the best CFD brokers in the UK, you should consider fees and deposits, leverage, tradable assets, regulatory status, accounts, and tools. Check out our list of the top CFD brokers in the UK in 2024 for our recommendations.

What Are The Advantages Of CFD Brokers In The UK?

For traders in the UK, a brokerage based or licensed to operate in the United Kingdom can offer straightforward access to British stocks and indices, plus currency pairs with the GBP. Investors will also be able to open GBP accounts and pay fees in their local currency.

Can I Trade Cryptos With CFD Broker In The UK?

The FCA has banned UK retail investors from trading cryptocurrencies through derivatives like CFDs. You’ll only be able to trade CFDs on cryptocurrencies if you’re classed as a professional trader or if you open an account with an unregulated, offshore broker.

Do I Pay Taxes Trading With CFD Brokers In The UK?

Any profits from CFD trading in the UK may be subject to capital gains tax if they exceed £12,500. It could be worth speaking to a professional tax advisor before you open a live account.

Is Investing With UK CFD Brokers Safe?

Investing in CFDs is a risky business. Traders can accumulate large losses, especially when using leverage. As a result, it’s important to sign up with a good UK CFD broker that is regulated by the FCA and offer risk management tools.