Our team opened FCA regulated spread betting accounts with 15 brokers to determine the best spread betting platform for UK traders. By comparing broker execution speeds, spreads, trading platforms and range of markets we determined Pepperstone the best UK spread betting platform.
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Our top 10 list of the best FCA regulated platforms to spread bet are:
| Broker | Our Rating | Regulation | Standard EUR/USD Spread |
Standard GBP/USD Spread |
Standard AUD/USD Spread |
Raw EUR/USD Spread |
Raw GBP/USD Spread |
Raw AUD/USD Spread |
Commissions (USD Base) |
MetaTrader 4 | MetaTrader 5 | cTrader | Execution Speed | Minimum Deposit | Currency Pairs | Crypto CFDs | Retail Leverage | Prof. Leverage | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
|
9.33 |
FCA CySEC |
1.12 | 1.69 | 1.22 | 0.1 | 0.6 | 0.3 | $3.50 |
|
|
|
77ms | $0 | 62+ | 12+ | 30:1 | 500:1 |
|
|
6.83 |
FCA ASIC, MAS |
0.70 | 1.1 | 2.2 | - | - | - | - |
|
|
|
95ms | $150 | 84+ | 25+ | 30:1 | 500:1 |
|
|
6.67 |
FCA BaFin, CySEC |
1.13 | 1.66 | 1.01 | 0.16 | 0.59 | 0.29 | $6.00 |
|
|
|
174ms | $450 | 100+ | 12+ | 30:1 | 200:1 |
|
|
7.93 |
FCA BaFin, CySEC |
1.3 | 1.4 | 1.7 | 0.30 | 0.90 | 0.40 | $3.00 |
|
|
|
150ms | $300 | 42+ | 7+ | 30:1 | 500:1 |
|
|
7.46 |
FCA CySEC |
1.32 | 1.7 | 1.95 | 0.32 | 0.37 | 0.51 | $3.50 |
|
|
|
151ms | $0 | 69+ | 30+ | 30:1 | 200:1 |
|
|
8.83 |
FCA CIRO |
0.6 | 0.9 | 0.7 | - | - | - | - |
|
|
|
- | $0 | 70+ | 4+ |
|
||
|
7.17 |
FCA BaFin |
1.12 | 1.30 | 1.64 | 0.5 | 0.9 | 0.6 | $2.50 |
|
|
|
138ms | $0 | 338+ | 19+ | 30:1 | 500:1 |
|
|
6.4 | FCA | - | - | - | 0.82 | 1.62 | 0.77 | - |
|
|
|
- | £0 | 50+ | - | 30:1 | - |
|
|
7.67 |
FCA CySEC |
1.1 | 1.3 | 1.1 | 0.1 | 0.3 | 0.2 | $3.50 |
|
|
|
161ms | $0 | 46+ | 21+ | 30:1 | 500:1 |
|
|
7 |
FCA CySEC, FSCA |
1.6 | 1.6 | 1.9 | - | - | - | - |
|
|
|
150ms | $100 | 54+ | 24+ | 30:1 | 300:1 |
|
Forex Panel Score
Average Spread
EUR/USD = 1.12
GBP/USD = 1.69
AUD/USD = 1.22
Trading Platforms
MT4, MT5, cTrader,
TradingView, Capitalise.ai
Minimum Deposit
$0
Why We Recommend Pepperstone
We found many compelling reasons to recommend Pepperstone as our best spread betting broker. Chief among these are their lowest spreads and fast execution speeds, both features we tested ourselves and proved they lead the market in. Another compelling reason we think highly of Pepperstone is that they offer a choice of 4 trading platforms – MetaTrader 4, MetaTrader 5, cTrader and TradingView so whether you like technical charts for analysis or automation and even social tools, Pepperstone offers options for something for all betting styles.
Pros & Cons
Broker Details
Pepperstone has the lowest fees and fastest execution speeds
We scored Pepperstone as the best 2023 broker after opening accounts with the better-known spreads betting brokers and comparing their fees and features. Our scorecard favoured Pepperstone because of their:
Pepperstone Has The Lowest Spreads
At CompareForexBrokers, we compare average spreads of spread betting accounts (commission-free accounts) each month. As most UK traders focus on a handful of currency pairs, we only focus on major spreads when comparing our brokers.
The September 2023 spread table below showed that Pepperstone has the lowest spreads on almost all the most traded currency pairs. This included the most traded currency pair (the EUR/USD) and other popular pairings, including EUR/GBP and AUD/USD. Only the top brokers that publish their average spreads and offer spread betting trading were compared.
|
Spread Betting Account Spreads
|
|||||
|---|---|---|---|---|---|
|
1.10 | 1.20 | 1.60 | 1.40 | 1.40 |
|
1.12 | 1.64 | 1.80 | 1.30 | 1.38 |
|
1.32 | 1.95 | 3.19 | 1.70 | 1.40 |
|
1.20 | 1.80 | 2.80 | 1.90 | 1.60 |
|
1.20 | 1.30 | 2.70 | 1.30 | 1.20 |
|
1.40 | 2.50 | 4.90 | 2.10 | 1.60 |
Avg. spreads are taken from each broker's website and updated monthly. Last update on 01/11/2023
Pepperstone Has The Fastest Execution Speeds
Our head of research Ross Collins opened and then tested the trading accounts over two 26-hour periods using EAs. Of the brokers that offer spread betting, Pepperstone was the fastest for execution speed with 77ms limit order speed and 100ms market order speed.
Execution speed matters when spread betting as it ensures you fill an order at the price quoted and avoid slippage, which can lead to unexpected losses (especially when you have a stop-loss order in place).
| Broker | Overall | Limit Order Speed | Limit Order Rank | Market Order Speed | Market Order Rank |
|---|---|---|---|---|---|
| Pepperstone | 1 | 77 | 1 | 100 | 2 |
| FXCM | 2 | 108 | 3 | 123 | 3 |
| City Index | 3 | 95 | 2 | 131 | 4 |
| FP Markets | 4 | 225 | 12 | 96 | 1 |
| IC Markets | 5 | 134 | 5 | 153 | 9 |
| FxPro | 6 | 151 | 9 | 138 | 5 |
| GO Markets | 7 | 144 | 7 | 145 | 7 |
| Admirals | 8 | 132 | 4 | 182 | 18 |
| CMC Markets | 9 | 138 | 6 | 180 | 10 |
| IG | 10 | 174 | 12 | 141 | 6 |
| XM | 11 | 148 | 8 | 184 | 11 |
| ThinkMarkets | 12 | 161 | 11 | 248 | 12 |
The account we measured execution speeds for was the no-commission account with spreads from 0.7 pips. The account has no minimum deposit, and the base currency is British Pound (GBP).
Pepperstone’s diverse range of trading platforms
When you open an account, you have four trading platform options:
Pepperstone was the TradingView broker of the year[1]Voted Best Spread Betting Platform in 2021 by the ADVN International Financial Awards and the first to bring the software to spread betting (previously, it was an exclusive CFD platform). The broker also offers advanced features on MetaTrader, including:
Final Verdict On Pepperstone
Trading fees and execution speeds are the two most important factors for spread betting. Pepperstone won both categories with the lowest spreads on most currency pairs and the fastest Limit Order and Market Order speeds. Our testing also found that Pepperstone has the best account opening process and has a £0 minimum deposit requirement. Combined with the fact that the broker is FCA regulated, these factors led to our best UK spread betting platform, Pepperstone recommendation.
Pepperstone ReviewVisit Pepperstone
*Your capital is at risk ‘75.6% of retail CFD accounts lose money’
Forex Panel Score
Average Spread
EUR/USD = 0.7
GBP/USD = 1.1
AUD/USD = 2.2
Trading Platforms
MT4, TradingView,
Web Trader
Minimum Deposit
$150
Why We Recommend City Index
While City Index only has spread betting with their in-house developed City Index Trading Platform, we think this gives the broker a point of difference. This platform includes a guaranteed stop-loss order (GSLO) which allows you to manage your risks when taking a punt using the 4,500 available to bet on.
Pros & Cons
Broker Details
City Index Offers A Guaranteed Stop Loss With Tight Spreads
City Index is one of the top UK forex brokers with spread betting on various asset classes and has over 4,500 different financial products to bet on. These global markets can be accessed through the broker’s web trader platform or their mobile and tablet device trading apps.
Pricing And Fees
When spread betting with City Index, customers can bet on a range of financial instruments that are competitively priced. As with all spread betting in the UK, profits are tax-free and exempt from stamp duty and Capital Gains Tax (CGT).
As shown above, the UK spread betting company offers tight spreads, starting as low as 0.5 pips for major currency pairs. Spreads for the Euro/United States Dollar (EUR/USD) fx pair can be as low as 0.5 pips, with average spreads of 0.8 pips. City Index’s full forex product range consists of 65 different currency pairs, along with a solid selection of indices, shares, commodities, metals, bonds, and interest rates.
Although no commission fees are incurred when spread betting with City Index, traders do face overnight financing fees, inactivity fees for dormant accounts, and premium rates for Guaranteed Stop Loss Orders (GSLOs).
Guaranteed Stop-Loss Orders (GSLOs)
To manage the high risk of spread betting, stop-loss and limit orders are available to lock in profits and minimise losses.
Just like free order types, spread betters can pay a premium to place GSLOs. GSLOs ensure positions are closed at the price selected by the trader, whereas stop loss and limit orders do not guarantee that the pre-selected prices will be matched.
Trading Platforms
City Index’s main trading platform is the City Index Trading Platform (sometimes called WebTrader). We tended to prefer their proprietary online trading platform as it is powered by HTML 5 technology and accessible from any browser. One feature we like with the platform is the availability of a guaranteed stop loss order (GSLO) which allows you to protect your trading position so you cannot lose more than you are willing to.
Mobile Trading Apps
City Index offers two forex trading apps specifically designed for iOS and Android devices. Many of City Index’s web trader features are available on mobile apps, including different order types such as GSLOs, one-click trading, Reuters news, and custom indicators.
The fully functional and customisable apps provide most of the online platforms charting tools with 60 inbuilt technical indicators and multiple timeframes included. A major benefit to City Index’s trading apps is that traders can easily and instantly contact customer support via the app’s live chat function.
Final Verdict On City Index
We liked City Index’s range of markets you can spread bet across. Their proprietary platform has useful features such as charts, technical indicators and a GSLO, and these are backed up with competitive spreads to reduce your trading costs. If you really want the most markets to trade, they are worth shortlisting.
City Index ReviewVisit City Index
*Your capital is at risk ‘70% of retail CFD accounts lose money’
Forex Panel Score
Average Spread
EUR/USD = 1.13
GBP/USD = 1.66
AUD/USD = 1.01
Trading Platforms
MT4, IG Trading Platform,
L2 Dealer, ProRealTime
Minimum Deposit
$250
Why We Recommend IG Group
We highly recommend the IG Group, the pioneers of financial spread betting since 1974. With a whopping selection of over 17,000 products to delve into—from unique options like interest rates and IPOs to thematic markets—it’s evident why we favour IG for those keen on exploring a vast range of markets. If there’s a market you’re eyeing, chances are, IG has got you covered.
Pros & Cons
Broker Details
IG Has The Largest Spread Betting Markets Available
When we traded with IG Group, we had access to global markets and various asset classes for spread betting. This was perfect for us, especially since we trade across multiple markets and prefer to consolidate all our trading on a single platform. Available asset classes to spread bet include:
IG Has An Easy To Use Trading Platform
The broker’s proprietary trading platform for beginners is offered as a desktop or web trader. It also offers trading apps designed for tablets and mobiles. For those wanting to use a third-party spread betting platform, ProRealTime and MetaTrader 4 are other options.
Proprietary Web Platform And Trading Apps
The proprietary software from IG Markets is very beginner-friendly, offering a customisable experience suitable for traders of all skill levels. We could access the web trader platform from any browser, and their mobile trading apps worked seamlessly on Android and iOS devices.
An advantage of using IG’s online trading platform is that users can utilise different order types, such as Guaranteed Stop Loss Orders (GSLOs) to manage the high risk of spread betting. Platform features available on both the web trader platform and trading apps include:
MetaTrader 4
Many traders prefer MetaTrader 4 due to the platform’s Expert Advisor (EA) functionality. EAs allow users to automate trading, reducing the time spent conducting analysis and placing orders. In addition to MT4’s inbuilt technical indicators, IG Markets offers an add-on package that provides an additional 12 MT4 add-ons.
In summary, our experience suggests that IG Group might be the top spread betting broker for beginners, given their robust trading platform, stellar customer service, and the breadth of markets available. Knowing that IG Group is the largest retail forex broker added a layer of reassurance for those newer to spread trading.
Forex Panel Score
Average Spread
EUR/USD = 1.3
GBP/USD = 1.4
AUD/USD = 1.7
Trading Platforms
MT4, TradingView,
Trading Station, Capitalise.ai
Minimum Deposit
$300
Why We Recommend FXCM
We recommend FXCM for its competitive spreads starting from 0.7 pips and its commendable range of markets, notably in shares. What genuinely sets FXCM apart is its unique provision of spread betting on the MetaTrader 4 platform. Being one of the rare brokers to offer MT4 combined with spread betting facilities is noteworthy. With access to thousands of custom indicators and the benefit of automated trading, we consider FXCM an excellent choice for those keen on spread betting via MetaTrader 4.
Pros & Cons
Broker Details
FXCM Offers Spread Betting on MetaTrader 4
MetaTrader 4 is undoubtedly a favoured trading platform for CFDs, but to our surprise, only a few brokers provide spread betting on it. Lucky for us, FXCM does, enabling us to harness the full capabilities of MT4, from its customisable trading indicators and one-click trading to automated trading and its rich set of drawing tools. We value the ability to automate our trades, and if you’re into using Expert Advisors and have a penchant for spread betting, our experience suggests FXCM might be your go-to broker.
Alternatively, FXCM gives you a choice of 3 trading platforms for spread betting. These are Trading Station Web, TradingView, and Ninja Trader.
FXCM Retail Spread Betting Account
The FXCM retail spread betting account works like the CFD trading account. This means you get the same spreads you would if you were trading CFD financial instruments such as Forex, Shares, Indices, and other products FXCM offers.
FXCM does not charge commissions, meaning the markup is included in the spread. Spreads for the FXCM account are as follows:
|
FXCM Spread Betting: Standard Account, No Commission Spreads
|
|||||
|---|---|---|---|---|---|
|
1.30 | 1.70 | 2.40 | 2.10 | 1.70 |
Avg. spreads are taken from each broker's website and updated monthly. Last update on 01/11/2023
Active Trader Account For Spread Betting
If you are after the tightest spreads for spread betting, then you should consider the Active Trader account. But, a heads up: Active Traders is reserved for those earnest traders ready to bet in hefty volumes.
To qualify for an active trader account, you will need to bet or trade a monthly notional volume of at least 150 million and maintain equity above $25,000. While spreads are tighter, there are commission costs you will have to pay (which is unusual for a spread betting account).
You will pay $25 in commission when you open and close your bet for every $1 million you bet.
Other benefits of the Active trader account include:
The following table lists the average spreads FXCM offers for Active Traders:
|
FXCM Active Trader: Standard Account, No Commission Spreads
|
|||||
|---|---|---|---|---|---|
|
|
0.30 | 0.40 | 1.10 | 0.70 | 0.80 |
Avg. spreads are taken from each broker's website and updated monthly. Last update on 01/11/2023
FXCM Spread Betting Products – Shares, Forex, Trading Baskets
Choosing FXCM means you get a large and diverse range of financial instruments you can use for trading. Products include:
One of the major features is the range of shares FXCM has. Spread betters are not restricted to shares from the US NASDAQ or NYSE like many other brokers offer but shares across multiple markets. This means you can bet not only on popular shares based in the US, like Facebook, Zoom, Microsoft, Alphabet (Google), and Tesla but also shares in other markets, such as AstraZeneca and BP.
In addition to shares, FXCM also offers trading baskets. Available baskets include forex baskets and stock baskets. Trading baskets are a compilation of common assets grouped to form a kind of index.
There are 3 Forex Baskets available. These are The Dow Jones Dollar Index Basket (US Dollar), The JPY Basket, which is called the YES index, and the EM Basket or Emerging Markets Index.
The difference between each index is the number of currencies that make up the index.
The other trading baskets consist of stocks ground by a particular theme. Examples include FAANG, which compiles stocks of the 5 biggest I.T. companies on the US Stock Exchange and US Automotive (US.AUTO) which consists of 5 of the largest automobile companies on the US stock exchange.
1As per FXCM’s Spread Report (Q1 2023)
²FXCM can be compensated in several ways, which include but are not limited to adding a markup to the spreads it receives from its liquidity providers, adding a markup rollover, etc. Commission-based pricing is applicable to Active Trader account types
3Cryptocurrency Products are currently not available to retail clients residing in the UK
4Leverage: Leverage is a double-edged sword and can dramatically amplify your profits. It can also just as dramatically amplify your losses. Trading foreign exchange/CFDs with any level of leverage may not be suitable for all investors.
*Your capital is at risk ‘67% of retail CFD accounts lose money’
Forex Panel Score
Average Spread
EUR/USD = 1.32
GBP/USD = 1.7
AUD/USD = 1.95
Trading Platforms
MT4, MT5, cTrader,
FxPro Trading Platform
Minimum Deposit
$100
Why We Recommend FxPro
FXPro has an excellent trading platform which comes with over 50 indicators, 4 pending order types, 15 time frames and sentiment tools for the Forex majors. Combined with these features, the FxPro Edge makes a solid pick for the best spread bet trading platform.
Pros & Cons
Broker Details
FxPro Has Excellent Trading Platform Features
FxPro offers FxPro Edge, which is a proprietary spread betting trading platform that has a user-friendly design (it’s minimalistic, so no distractions while trading). The FxPro Edge platform is highly customisable with its widget module design, allowing you to arrange your trading platform in a way that makes it easy for you to trade. If you solely rely on technical analysis, then the FxPro Edge platform is an ideal choice because it comes with 60+ indicators and drawing tools to help with your analysis.
The FxPro Edge also comes with an Account Performance tool that shows you a real-time breakdown of your trading performance with a range of helpful stats. It shows your total number of trades and how many of them were profitable, giving you a winning percentage, and it also shows you your average PnL per trade. These stats are handy to know whether you are a new trader or a veteran, as they can help spot mistakes in your trading.
FxPro Edge users are provided with a professional trading environment with commission-free spread betting available on forex, share, index, energy and metal products.
CMC Markets ReviewVisit CMC Markets
*Your capital is at risk ‘78.87% of retail CFD accounts lose money’
Forex Panel Score
Average Spread
EUR/USD = 0.6
GBP/USD = 0.9
AUD/USD = 0.7
Trading Platforms
MT4, TradingView
OANDA Trade (fx Trade)
Minimum Deposit
$0
Why We Recommend OANDA
OANDA is our top choice as a spread betting broker if you are a beginner. We like that the broker’s platform (OANDA Trade) is user-friendly with excellent charting tools and that it allows you to trade smaller deal sizes, making it ideal for beginners.
Broker Details
OANDA Trade Offers Novice Traders Beginner-Friendly Tools
The OANDA Trade platform is designed to make analysing the markets and executing your trades straightforward and without distractions. We like how the platform has over 100+ technical indicators and drawing tools, giving you a solid choice of indicators to work with (more than most other platforms).
One of the advantages you may like with the OANDA Trade platform is that you can trade smaller deal sizes, which can help you transition from demo to live trading. Because of this, the OANDA Trade platform requires you to input your positions by entering the units you want to trade instead of a stake size.
Even though you have more control over your deal sizes, you must determine how much per point you want to risk.
OANDA Trade provides easy access to third-party trading tools like AutoChartist which generates trading ideas based on technical analysis. This is useful for a beginner because it allows you to see how a professional firm finds trading ideas, as well as provide a second opinion on market direction.
Forex Panel Score
Average Spread
EUR/USD = 1.12
GBP/USD = 1.3
AUD/USD = 1.64
Trading Platforms
MT4, CMC NGEN
Minimum Deposit
$0
Why We Recommend CMC Markets
If you like choices when betting on currency markets, we recommend you look at CMC Markets. It offers over 300 Forex pairs to bet on (you read that right), starting from 0.7 points. It also has a solid selection of markets with 90+ indices, 110+ hard and soft commodities and over 50 treasuries. We are confident CMC Markets will have the betting instruments you are looking for.
Pros & Cons
Broker Details
CMC Markets Offers The Best Range Of Markets
CMC Markets has over 300+ currency markets available for you to spread bet. This is by far the largest selection in the UK. They offer reverse cross pairs on every asset, which means you can trade forex pairs like USD/GBP and EUR/USD. So, if you like to trade forex, CMC Markets is your top choice.
Although no commission is charged on top of competitive spreads, traders incur fees for overnight financing, premium order types, and inactive trading accounts. Spread betting costs include:
CMC Has A Top Trading Platform
The Next Generation platform offers an intuitive, user-friendly trading environment that is available in a standard or advanced format. A range of trading tools is provided via the platform to assist traders with developing spread betting strategies and managing the high risk of forex trading, such as:
The trading platform is available for desktop download as a web trader through an Android and iOS app.
Forex Panel Score
Average Spread
EUR/USD = N/A
GBP/USD = N/A
AUD/USD = N/A
Trading Platforms
TradingView, SpreadEX Trading Platform
Minimum Deposit
Why We Recommend Spreadex
We highly recommend Spreadex for its diverse spread betting offerings. Beyond the traditional financial instruments like Forex, Gold, Silver, and Energies, it uniquely offers sports spread betting. For those keen on accessing over 10,000 financial instruments on a world-class platform or placing a bet on your favourite EPL football team, Spreadex stands out as a top choice. Its unique fusion of finance and sports makes it an appealing option for traders and enthusiasts.
Pros & Cons
Broker Details
Spreadex Offers financial and sports spread betting
Founded in 1999, UK-based, Spreadex is the only firm to offer spread betting using financial and sport markets, as a bonus you can also trade financial instruments using CFDs.
Financial markets available for spread betting include 16 daily and 20 futures indices, 57 forex pairs and 12 futures, 1000+ shares across 15 global exchanges as well as ETFs, options ad hard commodities.
Spreadex has an award-winning platform
Spreadex offers 10,000 tradeable products on its award-winning proprietary trading platform, which was voted the Investment Trends 2023 Winner for best mobile platform/app. The UK broker’s powerful platform is highly customisable, with advanced charting including pro trend lines and pattern recognition. We particularly like the platform’s advanced order types, such as the unique ‘forced open’ where you can go long and short on the same market and a guaranteed stop loss order (GSLO). A GSLO is especially used for if you are new to trading as it ensure you cannot lose more than you maximum level of tolerance.
Quick account opening process
Spreadex features a quick and easy account opening process, with a simple online application form before you are approved and can fund your account immediately.
When you sign up, you’ll have access to thousands of markets for CFD trading and spread betting, including forex, shares, indices, commodities, bonds, ETFs and options.
You can even benefit from a free, 6-month Financial Times subscription should you deposit £500 into a new Spreadex trading account.
Spreadex offers sports betting
In conjunction with spread betting on global markets such as forex, stocks and indices, Spreadex offers the unique feature of spread betting on sporting events.
Rather than the traditional method of fixed-odds betting, Spreadex customers can bet higher or lower than the broker’s spread, the more the price moves, the greater the potential returns.
Sporting events available to spread bet on include:
Forex Panel Score
Average Spread
EUR/USD = 0.1
GBP/USD = 0.3
AUD/USD = 0.2
Trading Platforms
MT4, MT5, ThinkTrader
Minimum Deposit
$0
Why We Recommend ThinkMarkets
ThinkMarkets’ ThinkTrade is an excellent mobile trading app that comes bundled with a range of unique features, like the market scanner tool and viewing four charts on one screen. If using a mobile trading app is important to you, then we recommend ThinkMarkets for having the best mobile trading app.
Broker Details
ThinkMarkets Has The Most Tools On Its Mobile Platform
We evaluated the best apps for spread betting and found the ThinkTrader mobile app had an excellent range of trading features that aren’t featured with other brokers’ mobile apps.
For example, one feature that we liked is that it comes with its own market scanner to help find new trading opportunities throughout the day. This is a helpful tool for intraday traders who might need extra inspiration throughout the day.
While many mobile apps are restricted regarding charting tools, ThinkTrader offers an extensive range of technical analysis tools including 10 chart types, 12 timeframes, 40 objects, and 100 technical indicators. Additional built-in mobile app features include:
Forex Panel Score
Average Spread
EUR/USD = 1.6
GBP/USD = 1.6
AUD/USD = 1.9
Trading Platforms
MT4, MT5,
Markets.com Trading App
Minimum Deposit
$100
Why We Recommend Markets.com
Markets.com is our top pick for spread betting demo accounts, offering long expirations and unlimited funds, making it a solid choice to practise your strategies or learn to trade. Additionally, Markets.com offers a solid range of platforms for you to demo risk-free, including the Markets.com platform which is ideal if you are a beginner trader.
Pros & Cons
Broker Details
Markets.com Offers A Range Of Software
Markets.com is one of the better brokers that is regulated by the FCA (Financial Conduct Authority) offering a free demo account to spread bet. We analysed spread betting demo accounts and found their MT4 and MT5 offerings were good, but their proprietary platform was the best for beginner traders.
Markets.com Platforms
Markets.com has the widest range of platforms that offer spread betting for their UK and Ireland residents. Their own proprietary platform is one of the most advanced platforms that offers over 200 different assets ranging from forex currency pairs to blended stock baskets.
Markets.com Knowledge Center
Markets.com offers one of the best knowledge centres for anyone to enjoy, even if you are not a client. Whether you are just starting your trading journey or have been doing it for many years, there is always something new to learn about when trading in the financial markets.
A selection of features Markets.com knowledge centre offers include:
Getting Started With Markets.com Demo Account
For traders unfamiliar with Markets.com, they offer a demo account on its trading platforms that expires after 3 months with unlimited virtual money available. If you have not traded the financial markets before, starting with a demo account is recommended before risking your own personal money. For all UK and Ireland residents, the minimum deposit amount to start trading on a live account is £100.
Markets.com ReviewVisit Markets.com
*Your capital is at risk ‘67.7% of retail CFD accounts lose money’
Every broker that provides the option to spread bet has a range of trading software to use. We ranked these options based on popularity, features and ease of use.
TradingView is one of the newest and most advanced trading platforms. With this platform, you get 15 plus chart types, 100 pre-built indicators (including 90 drawing tools) plus 100,000+ public indicators. The platform also comes with a host of backtesting tools, financial analysis data and trading alerts for all conditions.
Pepperstone was the first to offer the TradingView for Spread Betting. We like Pepperstone because the broker tested it as having the fastest execution speeds and their spreads are on the lower side fore most currency pairs.
MetaTrader 4 is the most common platform available for spread betting. You will find many brokers offering this platform, including Pepperstone, IG, AvaTrade, OANDA, ActivTrades, FXCM and Vantage Markets. Being the world’s most popular trading platform, we think MT4 is the safest choice.
With this platform, you get 4 types of pending orders, 9 timeframes for the charts, 23 analytical objects and 30 technical indicators. You also have the benefit of being able to use Expert Advisors to create your own custom indicators or algos for automation.
If you are looking for an upgrade on MT4, then its successor, MT5, is a good solution. With MT5, you get many of the same features as with MT4 but with more advanced options. This includes over 38 technical indicators, 44 analytical objects, 21 timeframes and the ability to access 100 charts at a time. MT5 is a better choice than MT4 for betting on stocks and for backtesting.
Choosing the right broker is a key decision you’ll make at the start of your trading journey, so don’t get swayed by a broker’s suave marketing. You should consider a few key aspects to find the right broker.
Spreads – Lower spreads minimise the trading costs so you can maximise your returns, so make sure to choose a broker with low spreads.
Trading Platform – Do they offer the platform you want to trade with? If not, you don’t have to compromise on high spreads/poorer services so that you can use the platform of your choice. We’d choose a broker with a balance of low fees and the platform we want to trade on.
Customer Service – Errors and problems in trading can cause significant problems (and losses), so you must verify a broker’s customer support first. Ensure there is a phone number and offer real, human live chat services. We couldn’t think of anything worse than being in an erroneous trade without being able to fix/close a position over the phone.
Regulated – Fortunately, all UK brokers must be regulated by the FCA, one of the most respected regulators. So, if you choose a broker that the FCA approves, this is essentially a golden seal of approval.
Extra Due Diligence
We’d also read reviews from verified accounts on websites like TrustPilot, but we would take everything with a pinch of salt. When they lose money, many traders blame the broker first and create emotional reviews that don’t tell a full story.
You must understand that the FCA regulates the brokers in the UK and follows the strictest frameworks that protect clients.
Spread betting brokers offer a simple way to pay for their services by charging a spread when you open a position. Another fee you should be aware of is the rollover fee, which the broker charges.
You will not be charged a rollover fee if you are an intraday trader and close your positions before 22:00 UK time.
The terminology of A book and B book brokers is based on how the broker executes your trades. An A book broker offers straight-through processing / ECN services (no dealing desk), meaning your orders are directed straight to the liquidity providers. The advantage of this is tighter spreads and fast executions while being a more transparent broker as they offer prices directly from the market.
A B book broker is a market maker (has a dealing desk), so your trades are not passed to the market. An advantage of this is that B book brokers can offer fixed spreads and guaranteed order fills with no re-quotes.
| Feature | A Book | B Book |
| Execution Method | STP/ECN | Market Maker |
| Trading Fees | Tighter spreads + commission | Wider spreads + no commission |
A spread bet is a form of financial derivatives trading. For UK and Ireland residents, spread betting allows speculation on financial instrument movements from currencies, ETFs, shares to commodities without owning the underlying asset.
When traders make a financial spread bet, they speculate through a broker on the movement of an asset. Learn more in our what is spread betting guide.
A broker makes money in spread betting by adding a spread to the bid/ask price of the asset you want to trade. For example, if you want to trade EUR/USD, they will offer a bid price of 1.0950 and an asking price of 1.0949. The difference between these two prices is one pip, which is the spread. If you want to open a spread bet at £5 per point (pip), then the cost to open the position is £5 (one pip spread).
The spread is different for each asset you trade; it can be wider (cost more to enter) if the asset is volatile, such as exotic forex pairs. So, I’d always check an asset’s spread before trading to ensure you are entering at a reasonable cost.
In the UK (and Ireland), spread betting has no capital gains tax, unlike trading CFDs. The other main difference is that you only buy and sell in your local currency, which avoids currency exchange fees when buying US shares, for example. Only a few brokers offer spread betting and must be FCA-regulated. You can trade forex with CFDs and spread betting on most UK brokers.
To be clear, spread betting is a vehicle to speculate on price movements and forex trading is an asset you can speculate on. They are not comparable in that sense. Instead, you can compare the difference between how you can trade forex either by spread betting or CFD trading. The main difference between spread betting and forex trading CFDs is related to tax.
Spread betting with leverage caps is available to all UK retain investors with varying experience levels. More experienced traders with higher cash flow can apply with a spread betting firm to be considered a professional trader. This will open up the leverage available from 30:1 to up to 500:1 increasing the trader’s exposure to the market (and risk factor).
The regulatory body for financial services in the UK is the Financial Conduct Authority (FCA) which also regulates CFDs and forex trading. While spread betting is a gambling product, the Gambling Commission does not regulate this area as it’s finance-related. Instead, the FCA enforced the regulations and standards for financial firms that allow UK residents to spread bet.
The FCA offers consumer protection and market integrity for spread bettors. This includes the Financial Services Compensation Scheme (FSCS) which allows compensation up to £50,000 if a spread betting company can’t meet their financial obligations or goes bust. FCA-regulated brokers are also required to segregate clients’ funds to enhance protections.
The FCA ensures that spread betting firms meet both legal and ethical standards. This includes ensuring the staff are trained to a certain standard and that the companies booked are audited periodically.
In 2023, the FCA banned spread betting on cryptocurrencies due to the volatility of Bitcoin and similar cryptocurrency types.
The FCA determine in the interest of retail investors what leverage/margin is available. When spread betting on forex pairs the leverage is up to 30:1 while individual share margin is lower at 10:1. Leverage allows UK trader to control a large amount of an asset while funding the position with a small deposit of funds. Margin is the initial deposit you are required to open the leveraged position.
As an example, when you buy a house; you give the bank a deposit to secure a mortgage for your house. You can get access to leverage of up to 1:30 as a retail trader, and what this means is that for every £1 you put up as margin, you can control £30 worth of the asset.
Suppose you wanted to buy 1,000 shares in TESCO at £2 per share, with a leverage of 1:10; you only have to put a margin of £200 down to control the full 1,000 shares. The advantage of leverage is that you can accelerate your profits with smaller market movements, although it will amplify your losses if the market goes against you.
As an example, let’s say that TESCO’s price rose to £2.05p per share. With normal shares, this is a small move of 2.5%. With leverage, this becomes a 25% move based on the amount you have deposited as a margin.
Spread betting allows you to use the same strategies as you would with forex trading CFDs or shares. Below are some strategies that we think would be helpful with spread betting:
Trend following – this strategy is when you enter an asset when you believe the market is trending in a certain direction. The saying is, “The trend is your friend until the bend at the end.” This will be ideal if you trade shares as it is easier to find longer-term trends by utilising top-down analysis and using the company’s fundamentals to help drive its share price.
Breakout trading – is a common strategy that involves identifying support and resistance areas. The idea is that when the market trades beyond these levels (or broken past them), it signals an opportunity to enter the markets as it has broken an area that was difficult to get past. Hence the name, breakout trading.
Price action trading – this is where you analyse candlestick patterns and chart formations to find market reversals. We personally favour this form of trading as we like how it can work across multiple markets, and when you have traded for as long as we have, you can spot the key patterns with confidence, making it easier to trade.
We think that spread betting is the simplest form of executing your trading ideas, which you will see in this example.
Say you think that the EUR/USD will rise. You can open a position on the EUR/USD by entering how much you want to bet for every one pip that moves up or down. In this case, you enter a stake of £10 per pip, meaning for every 1 pip EUR/USD goes up (or down), you will gain (or lose) £10.
The EUR/USD trades 20 pips higher from this morning, and you want to close the position to bank your profits. By closing this trade, the market has moved 20 pips higher than where you opened, which means you have earned £10 for every pip gained – therefore, you have made £200 profit on this trade.
Spread betting and CFD trading are similar in the sense that investors are trading leveraged products and speculating on the direction in which a financial market will move.
The main difference is that a trader is not buying and selling a derivative contract when spread betting. Instead, traders bet on price movements, deciding on the amount to bet per point of price movement. Spread betters then decide the ‘stake’ per price movement they wish to trade, with profits being made when the market moves in favour of the bet.
Brokers primarily make money through the spread between the ‘buy’ and ‘sell’ price. Unlike sports bookies, their fees are the primary profit source rather than relying on taking the opposite position of the trader. Therefore, they don’t want to see their clients lose money as they want them to continue trading long-term to maximise the fees from the customer.
Financial spread bets are a derivative that allows you to bet on the direction of the asset rising or falling. It’s a way for UK and Ireland traders to speculate on the market direction without owning the underlying asset.
Technically, yes because the FCA classifies spread betting as a gambling product instead of an investment. Although you are speculating on the financial markets, just like you would investing in CFDs and shares.
All brokers will offer a phone number to access their dealers so you can place trades over the phone. Be aware that there are additional fees when placing trades over the phone.
It’s important to know that different accounts are aligned to trading styles. Below are some examples of the account offers.
Financial Spread betting brokers that offer MT4 are primarily focused on currency trading, but indices, ETFs, and commodities can also be traded. As the most popular software platform, most brokers that allow UK traders to make a spread bet also offer MetaTrader 4. This includes Pepperstone, IG, and City Index. The advantages of using MT4 to make a spread bet include the customised indicators and the ability to use scalping (automated trading) through Expert advisors (EAs). These EAs can be created from scratch or purchased through marketplaces to algorithmically make spread bet trades.
There are two types of spread betting fees. The first is the spread. This is when there is a difference between the bid/offer spread due to trading volume or deliberately widened by the broker. The second fee is the commission, which is based on trading volume. Most brokers offer a standard account with no commission, but this is designed for beginner UK traders with higher fees than the spread + commission account. The lowest spreads were recorded by Pepperstone, followed by FxPro, IG, and City Index.
Voted Best Spread Betting Platform in 2021 by the ADVFN International Financial Awards
ADVN awards in 2021 that included Spread betting
TradingView broker awards named Pepperstone the best overall broker
https://www.tradingview.com/broker-awards/
Ask an Expert
Can I do spread betting if I am not in the UK?
The FCA is the only financial oversite that regulated spread betting. For this reason, spread betting is only generally available for traders with an FCA regulated entity
Can i spread bet if I am not in the UK?
If you mean financial spread betting? then no or not really. You can sports spread bet in some countries
Is spread betting the same as sports spread betting?
Yes – you can spread bet using financial instruments or with sports. They are much the same
Is spread betting the same as gambling?
Thats a tricky one to answer….It depends on your definition of gambling but in the UK you spread betting taxes are much the same as gambling and different from CFD trading or investing so you could argue it is.
Can you use leverage when spread betting?
Yes, you can. How much leverage you can use depends on the broker