Low-spread forex brokers help you trade more efficiently by reducing the cost of entering and exiting positions.
In the UK, the best options combine tight spreads, FCA regulation, and strong execution speed for both beginners and active traders.
Top choices include Pepperstone, IC Markets, and IG, known for spreads from 0.0 pips and deep liquidity access.
Quick answer: What are the best low spread forex brokers in the UK?
The best low spread forex brokers in the UK are XTB, IG, and Pepperstone. All three are FCA-regulated, offer spreads from 0.0 pips, and provide fast execution with access to major forex pairs on trusted, user-friendly platforms.
Best low spread FX brokers ranked
Here’s a quick list of the best low spread forex brokers in the UK, based on expert testing of fees, execution speed, and trading conditions.
Lowest spread forex brokers compared
This comparison ranks the top low spread forex brokers using four key rating factors every trader should review before choosing a platform.
| Rank | FX brokers | Number of currency pairs | Average spread EUR/USD | Minimum deposit | Regulation |
|---|---|---|---|---|---|
| 1 | Plus500 | 70+ | 0.8 | £0 | FCA |
| 2 | XTB | 48 | 1.0 | £0 | FCA |
| 3 | IG | 80+ | 0.86 | £250 | FCA |
| 4 | Trade Nation | 33 | 0.6 | £0 | FCA |
| 5 | AvaTrade | 50+ | 0.92 | $100 | ASIC |
| 6 | Admirals | 50 | 0.1 | $100 | FCA |
| 7 | Pepperstone | 60+ | 0.77 | $200 | FCA |
Low spread broker reviews
The UK dominates global forex trading, accounting for around 43% of total market volume1, making London the world’s leading forex hub.
UK traders benefit from FCA-regulated brokers offering tight spreads, strong platforms, and fast execution.
Based on expert analysis and market testing, this guide ranks the best low spread forex brokers in the UK using four key criteria:
- Number of currency pairs
- Average EUR/USD spread
- Minimum deposit
- Regulation
Additional factors such as usability, education tools, and platform features were also assessed to ensure a complete view of each broker.
You can also read about how we test platforms here.
This article was reviewed by Tobi Opeyemi Amure, a trading expert and writer at Investopedia, Investing.com, and Trading.biz.
1. XTB – Overall best
Is XTB a good low spread forex broker?
Yes. XTB is one of the UK’s top low-spread forex brokers, offering forex, indices, commodities, shares, and cryptocurrencies with fast execution and transparent pricing. Listed on the stock exchange, it is trusted for its tight spreads, FCA regulation, and its acclaimed xStation 5 platform, which combines advanced tools with an intuitive layout.
What trading platforms does XTB offer?
XTB’s proprietary xStation 5 platform is available on web, desktop, and mobile, providing real-time sentiment data, performance analytics, and one-click trading. It features advanced charting, integrated news feeds, and economic calendars, making it suitable for both beginners and experienced traders.
What are XTB’s spreads, fees, and costs?
XTB offers zero commission trading on forex, with spreads starting from 0.0 pips on EUR/USD. Average spreads typically range between 0.1–0.8 pips, depending on market conditions. There are no deposit fees, though inactivity fees apply after 12 months, and swap charges are added for overnight positions.
| Feature | Details |
|---|---|
| FCA Regulated | ✅ Yes |
| EUR/USD Spread | From 0.1–0.8 pips |
| Commission | None (built into spread) |
| Leverage | Up to 30:1 for major pairs |
| Platforms | xStation 5 (web, desktop, mobile) |
| Minimum Deposit | £0 |
| FSCS Protection | Up to £85,000 |
| Inactivity Fee | Applies after 12 months |
Is XTB regulated and safe?
Yes. XTB is FCA-regulated and maintains segregated client funds with negative balance protection. It also participates in the FSCS scheme, which covers eligible client funds up to £85,000. Being a publicly listed broker, XTB ensures full transparency and operational oversight.
Who is XTB best for?
XTB is ideal for UK traders looking for low trading costs, zero commissions, and a user-friendly platform with robust research tools. It suits both beginners and intermediate traders who want to grow their forex skills with built-in education and market analysis.
Pros:
- Tight spreads from 0.0 pips
- Zero commission forex trading
- FCA-regulated with FSCS protection
- Fast and intuitive xStation 5 platform
- Comprehensive educational support
Cons:
- No MetaTrader 4 or 5 support
- Inactivity fees after 12 months
73% of retail investor accounts lose money when trading CFDs with this provider.
2. IG
Is IG a good low spread forex broker?
Yes. IG is one of the most trusted and established low-spread forex brokers in the UK, offering tight spreads from 0.6 pips, fast execution, and a wide range of markets including forex, indices, shares, commodities, and cryptocurrencies. With a £0 minimum deposit and no withdrawal fees, IG is ideal for traders seeking both affordability and reliability.
Which trading platforms does IG offer?
IG provides access to its proprietary IG trading platform, MetaTrader 4 (MT4), ProRealTime, and API trading for advanced users. Each platform features real-time quotes, detailed charting tools, and rapid order execution. The IG mobile app mirrors full desktop functionality, enabling seamless trading and portfolio management on the go.
What are IG’s spreads, fees, and costs?
IG operates a spread-only model on standard accounts, with no commissions for most forex trades. Direct Market Access (DMA) traders can access raw spreads plus a small commission per trade. Average EUR/USD spreads range from 0.6 to 1.0 pips, staying tight during peak trading hours. Additional costs include overnight funding and an inactivity fee after 24 months.
| Feature | Details |
|---|---|
| FCA Regulated | ✅ Yes |
| EUR/USD Spread | From 0.6–1.0 pips |
| Commission | None (DMA accounts add small commission) |
| Leverage | Up to 30:1 for retail clients |
| Platforms | IG Platform, MT4, ProRealTime, API |
| Minimum Deposit | £0 |
| FSCS Protection | Up to £85,000 |
| Inactivity Fee | Applies after 24 months |
Is IG regulated and safe?
Yes. IG is authorised and regulated by the UK Financial Conduct Authority (FCA) and has operated for over 45 years. It segregates client funds, maintains strong capital reserves, and offers FSCS protection up to £85,000. This reputation makes IG one of the safest and most established brokers for UK forex traders.
Who is IG best for?
IG is best for UK traders who value tight spreads, trusted regulation, and professional-grade tools. It’s suitable for both beginners seeking simplicity and advanced traders needing DMA access, in-depth research, and reliable execution across global markets.
Read our IG review.
Pros:
- Tight spreads starting from 0.6 pips
- FCA-regulated with FSCS protection
- Multiple professional trading platforms
- Excellent education and research tools
- £0 minimum deposit and free withdrawals
Cons:
- Higher costs on some stock CFDs
- Inactivity fee after long periods of no trading
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
3. AvaTrade
Is AvaTrade a good low spread forex broker?
Yes. AvaTrade is one of the best low-spread forex brokers in the UK, offering fixed spreads from 0.9 pips on EUR/USD. It stands out for its stable pricing, even during high market volatility, making it ideal for day traders who value predictable trading costs.
AvaTrade supports a wide range of markets, including forex, indices, commodities, shares, and cryptocurrencies, all within a secure, regulated environment.
Which trading platforms does AvaTrade offer?
AvaTrade provides multiple platforms tailored to different trading styles, including MetaTrader 4, MetaTrader 5, AvaTradeGO, AvaOptions, and WebTrader. The AvaTradeGO app is designed for flexibility, with over 90 trading indicators, sentiment tools, and real-time trading signals. These platforms allow traders to execute, analyse, and manage positions efficiently on both desktop and mobile.
How competitive are AvaTrade’s spreads and costs?
AvaTrade offers fixed spreads starting from 0.9 pips on EUR/USD, 1.0 on USD/JPY, and 1.1 on AUD/USD, ensuring consistent costs regardless of volatility. The broker charges no commissions on forex trades, with costs built into the spread. The minimum deposit is $100, and inactivity fees apply after extended periods of no trading. Overall, AvaTrade’s pricing structure makes it highly cost-effective for active forex traders.
| Feature | Details |
|---|---|
| FCA Regulated (UK) | ✅ Yes |
| EUR/USD Spread | Fixed from 0.9 pips |
| Commission | None (spreads only) |
| Leverage | Up to 30:1 for retail clients |
| Platforms | MT4, MT5, AvaTradeGO, AvaOptions, WebTrader |
| Minimum Deposit | $100 |
| FSCS/Investor Protection | Up to £85,000 equivalent |
| Inactivity Fee | Applies after prolonged inactivity |
Is AvaTrade regulated and safe?
Yes. AvaTrade is heavily regulated by multiple authorities, including the UK’s FCA, the Central Bank of Ireland, and ASIC. Client funds are held in segregated accounts, with SSL encryption protecting all transactions. Eligible clients are covered under investor compensation schemes, ensuring high levels of trust and safety.
Who is AvaTrade best for?
AvaTrade is best suited for day traders and cost-conscious investors who want fixed spreads, strong platform variety, and advanced trading tools. It’s also an excellent choice for those who prefer copy trading via DupliTrade or ZuluTrade, or want access to educational content through the AvaTrade Academy.
Pros:
- Fixed spreads from 0.9 pips on major pairs
- Supports MT4, MT5, and proprietary platforms
- Excellent mobile trading via AvaTradeGO
- Comprehensive education and market tools
- Strong global regulation and fund protection
Cons:
- High inactivity fees for dormant accounts
- Some products unavailable on all platforms
4. Pepperstone
Is Pepperstone a good low spread forex broker?
Yes. Pepperstone is widely regarded as one of the best low spread forex brokers in the UK, offering zero-pip spreads on its Razor Account for major pairs like EUR/USD and GBP/USD. It delivers fast execution speeds averaging 77 milliseconds, making it ideal for scalpers and day traders. With access to over 1,500 markets and 93 forex pairs, Pepperstone provides top-tier trading conditions for both retail and professional traders.
Which trading platforms does Pepperstone offer?
Pepperstone supports a wide selection of professional-grade platforms including MetaTrader 4, MetaTrader 5, cTrader, TradingView, and its own Pepperstone Trading App. Each platform offers advanced charting, automation tools (EAs and cBots), and integration with Smart Trader Tools and Autochartist for enhanced market analysis. Traders can choose between platforms optimised for manual, algorithmic, or social trading.
What are Pepperstone’s spreads, fees, and costs?
Pepperstone offers two main account types:
- Razor Account: Ultra-low spreads from 0.0 pips on EUR/USD with a £2.25 commission per side.
- Standard Account: Spreads from 1.0 pip, with no added commission.
There are no deposit or withdrawal fees, and no inactivity charges. Swap fees apply for overnight trades. Pepperstone’s consistently low spreads and transparent fee structure make it one of the most cost-efficient choices for UK forex traders.
| Feature | Details |
|---|---|
| FCA Regulated | ✅ Yes |
| EUR/USD Spread | From 0.0 pips (Razor) / 1.0 pips (Standard) |
| Commission | £2.25 per lot per side (Razor only) |
| Leverage | Up to 30:1 for retail clients |
| Platforms | MT4, MT5, cTrader, TradingView, Pepperstone App |
| Minimum Deposit | $0 |
| Execution Speed | Average 77 ms |
| Inactivity Fee | None |
| FSCS Protection | Up to £85,000 |
Is Pepperstone regulated and safe?
Yes. Pepperstone is authorised and regulated by the UK Financial Conduct Authority (FCA). It maintains segregated client funds and negative balance protection, ensuring traders cannot lose more than their deposited capital. Known for transparency and strong financial governance, Pepperstone also complies with global standards in the EU, Australia, and Dubai.
Who is Pepperstone best for?
Pepperstone is best for active traders, scalpers, and algorithmic traders who prioritise ultra-low spreads, lightning-fast execution, and advanced platform choice. It’s particularly suited to traders using automated strategies on MT4, MT5, or cTrader who need institutional-grade execution at retail-level access.
Pros:
- Zero-pip spreads on Razor Account
- Lightning-fast execution speeds
- Multiple advanced trading platforms
- No deposit, withdrawal, or inactivity fees
- FCA-regulated with strong fund protection
Cons:
- Commission applies on Razor Account trades
- No guaranteed stop-loss orders
- Limited share trading on MetaTrader
5. CMC Markets
Is CMC Markets a good low spread forex broker?
Yes. CMC Markets is one of the best low-spread forex brokers in the UK, offering access to 338 currency pairs, far exceeding most competitors. Its FX Active account provides spreads from 0.0 pips with low $2.50 commissions per lot, while its Standard account offers average EUR/USD spreads of just 0.8 pips. Combined with a powerful platform and over 12,000 CFD instruments, CMC Markets is a top choice for traders who value variety and low costs.
Which trading platforms does CMC Markets offer?
CMC Markets offers two robust platforms: MetaTrader 4 (MT4) and its proprietary Next Generation (NGEN) platform. The NGEN platform stands out for its intuitive design, 85+ indicators, chart pattern scanner, and integrated news and research tools. Its pattern recognition technology helps identify wedges, triangles, and breakouts automatically, giving traders new opportunities in real time. The platform is available on desktop, web, and mobile, with near-perfect usability ratings.
What are CMC Markets’ spreads, fees, and costs?
CMC Markets’ FX Active account delivers spreads from 0.0 pips on major pairs with a $2.50 (£2.00) commission per side. The Standard account is commission-free, with average spreads around 0.8 pips on EUR/USD, about 27% below the industry average. There are no deposit or withdrawal fees, though an inactivity fee applies after long periods without trading.
| Feature | Details |
|---|---|
| FCA Regulated | ✅ Yes |
| EUR/USD Spread | From 0.0 pips (FX Active) / 0.8 pips (Standard) |
| Commission | $2.50 per lot (FX Active only) |
| Leverage | Up to 30:1 for retail clients |
| Platforms | MT4, CMC Next Generation (NGEN) |
| Minimum Deposit | $0 |
| Currency Pairs | 338 |
| CFD Markets | 12,000+ |
| Withdrawal Fee | None |
| Inactivity Fee | Yes |
| FSCS Protection | Up to £85,000 |
Is CMC Markets regulated and safe?
Yes. CMC Markets is authorised and regulated by the UK Financial Conduct Authority (FCA) and is one of the UK’s most established trading brands. It maintains segregated client funds, negative balance protection, and FSCS coverage up to £85,000. With over 30 years of experience, it is regarded as one of the most transparent and secure brokers in the market.
Who is CMC Markets best for?
CMC Markets is best for UK forex traders who want access to the widest range of currency pairs, tight spreads, and advanced charting tools. It’s a great fit for day traders and active investors who benefit from its FX Active pricing, pattern recognition technology, and active trader rebate program.
Pros:
- Spreads from 0.0 pips with FX Active pricing
- Over 338 forex pairs and 12,000+ CFDs
- Excellent NGEN platform with advanced charting tools
- No deposit or withdrawal fees
- FCA-regulated and FSCS-protected
Cons:
- Inactivity fees apply
- No social or copy trading tools
- Limited live chat support
What are low spread forex brokers?
Low spread forex brokers offer accounts where the difference between the bid and ask price is minimal, reducing trading costs and improving execution. This efficiency is vital for scalpers and day traders, who make frequent trades and rely on tight pricing to maximise profit margins. In the UK’s deep liquidity market, brokers like Pepperstone, IG, and XTB now provide average EUR/USD spreads below 0.8 pips, allowing traders to keep more of their gains.
What does “spread” mean in forex trading?
A spread is the difference between a broker’s buy (ask) and sell (bid) price on a currency pair. For instance, if GBP/USD is 1.2730 (bid) and 1.2732 (ask), the spread equals 2 pips. This difference is effectively your cost per trade, meaning narrower spreads lead to lower costs and faster breakeven points.
Why choose a broker with low spreads?
Low spreads help reduce transaction costs and slippage, improving overall profitability. For active traders executing multiple daily trades, even a fraction of a pip saved per trade adds up significantly. Brokers offering consistently tight spreads typically provide better liquidity, faster execution speeds, and more stable pricing, making them ideal for professional or high-frequency strategies.
When do spreads widen and what should traders watch for?
Spreads can widen during volatile or low-liquidity periods, such as during major economic news releases or central bank announcements. Traders should review a broker’s average and maximum spread data, as well as its execution model (ECN, STP, or market maker), to understand how pricing behaves under stress. Reliable brokers disclose these details and avoid excessive requotes or slippage during fast-moving markets.
Why are low spreads important in forex trading?
Spreads form a core part of every trade’s cost structure, directly affecting profitability. Lower spreads allow traders to enter and exit positions more efficiently, particularly around technical levels or short-term setups. While swing and position traders can tolerate slightly higher spreads, scalpers and intraday traders depend on ultra-tight pricing where every pip counts. Understanding how a broker manages spreads under normal and volatile conditions is key to consistent, cost-efficient trading.
How to choose the best low spread forex broker in the UK
Selecting the right low spread forex broker involves more than comparing prices. The best choice combines tight spreads, FCA regulation, fast execution, and a reliable trading platform suited to your style.
Check FCA regulation and safety
Always confirm the broker is authorised by the Financial Conduct Authority (FCA). FCA-regulated brokers must follow strict standards, keep client funds in segregated accounts, and offer FSCS protection up to £85,000. This ensures your trading environment is secure and compliant.
Compare spreads and overall trading costs
Look beyond headline spreads. Some brokers offer tight spreads but charge higher commissions, while others build costs into the spread. Check whether spreads are fixed or variable, and review the average spread data for your preferred pairs. The goal is consistent, transparent pricing, not just the lowest figure advertised.
Evaluate the trading platform
Choose a platform that is stable, intuitive, and supports your strategy. Popular options include MetaTrader 4, MetaTrader 5, cTrader, and proprietary web platforms like xStation 5 or IG’s trading app. Testing a demo account first helps you assess usability, tools, and order speed.
Consider execution speed and reliability
Execution speed affects your ability to trade at intended prices. Top-tier brokers use ECN or STP execution models to deliver near-instant order fulfilment and reduce slippage. This is especially critical for scalpers and high-frequency traders.
Assess customer support and service quality
Good support can make a big difference. Look for 24/5 assistance through live chat, phone, and email, with multilingual agents available. Check reviews for real-world feedback on response time and issue resolution.
Review deposits, withdrawals, and account options
Ensure deposits and withdrawals are fast, low-cost, and transparent. Most FCA brokers support Visa, Mastercard, PayPal, and bank transfer. Review minimum deposit requirements, leverage limits, and account types to find the setup that fits your budget and trading style.
Check education, tools, and market research
Leading brokers provide learning resources, webinars, and daily market analysis to help you improve. Tools like Autochartist, Trading Central, and integrated news feeds can add real value for active traders.
Test brokers with demo accounts
Before committing funds, open demo accounts with two or three shortlisted brokers. This lets you test spreads, execution, and platform performance in real conditions.
Which UK forex brokers offer the lowest overall trading costs?
Low spreads are only one part of total trading expenses. The true all-in cost also includes commissions, overnight swap rates, and conversion fees. The most competitive UK brokers combine raw spreads with low or transparent commissions to keep total costs minimal.
Average all-in cost per 1 lot EUR/USD trade:
- Pepperstone (Razor Account): $5–$7 round turn, including commissions
- IC Markets (Raw Account): $5–$7 round turn
- XTB (Standard Account): 1.0 pip average spread, no commission
- IG (Standard Account): 0.6–0.8 pip average spread, no commission
- Admirals (Pro Account): spreads from 0.1 pips
Why total trading cost matters more than spreads alone
Some brokers promote zero-pip spreads but offset this with high commissions. The real measure is the all-in cost, combining both spread and commission. For instance, a broker offering a 0.0-pip spread with a $7 commission can be more expensive than one offering 0.6 pips with no commission.
Serious traders, particularly scalpers and algorithmic traders, should always assess the round-turn cost per trade rather than the spread in isolation.
Which brokers have the lowest non-trading fees?
Even with tight spreads, non-trading fees such as deposit, withdrawal, and inactivity charges can add up. Comparing these helps identify the most cost-efficient broker for long-term use.
Non-trading fee comparison:
- AvaTrade: Inactivity fee after 3 months, admin fee after 12 months
- XTB: No deposit or withdrawal fees, inactivity fee after 12 months
- IG: No withdrawal or inactivity fees
- Pepperstone: No deposit or withdrawal fees; third-party bank charges may apply
- Plus500: Inactivity fee after 3 months
How do spreads affect your trading profits?
Lower spreads reduce the price movement needed to reach breakeven, helping traders keep more of each winning trade. Over time, even a 0.2-pip difference per position can translate into hundreds of pounds saved annually, especially for high-frequency traders. Tight spreads are therefore essential for maintaining consistent profitability.
What’s the difference between raw and standard spreads?
Raw spreads are sourced directly from liquidity providers and start from 0.0 pips, but include a small commission per lot. They’re ideal for high-volume or algorithmic traders who need precise pricing.
Standard spreads are slightly wider but commission-free, with all costs built into the spread. These accounts suit beginners or casual traders who prefer simplicity over ultra-tight pricing.
Are low spreads better for scalping and day trading?
Yes. Scalpers and day traders rely on fast execution and small profits across multiple trades. Low spreads and ECN execution significantly improve net returns in these setups. UK brokers like Pepperstone and Admirals are excellent options for short-term strategies where milliseconds and pips can make a measurable difference.
What other trading costs should you consider?
Besides spreads, traders should factor in:
- Swap or rollover fees for overnight positions
- Currency conversion fees when account and trade currencies differ
- Premiums for guaranteed stop-loss orders
- Subscription or VPS fees for advanced trading tools
Ignoring these costs can offset the benefit of tight spreads. The best brokers combine low spreads, minimal commissions, and transparent pricing, ensuring long-term value and lower total trading costs.
FAQs
Should I use a low spread broker to trade forex?
Using a low spread broker for Forex trading can be beneficial if you are a day trader or scalper, as lower spreads mean reduced trading costs and potentially higher profits from small price movements. However, consider other factors such as commission fees, execution speed, and regulatory compliance of the broker before making a decision.
How are forex spreads calculated?
Forex spreads are calculated as the difference between the bid price (what buyers are willing to pay) and the ask price (what sellers are asking for) of a currency pair. It is typically measured in pips, which is the smallest price movement a currency pair can make. For example, if the EUR/USD bid price is 1.1050 and the ask price is 1.1052, the spread is 2 pips.
Is there a broker with 0 spreads?
Yes, some brokers offer accounts with 0 spreads, typically known as “raw spread” or “zero spread” accounts. These accounts provide spreads from 0 pips on certain currency pairs but usually charge a fixed commission per trade or lot as compensation for the reduced spread. It’s essential to research and compare the overall trading costs, including commissions and other fees, to determine if a zero-spread account is cost-effective for your trading strategy.
How does a zero spread forex broker earn money?
Zero-spread brokers earn revenue through commissions per trade or markup fees. When spreads are advertised as 0.0 pips, the broker charges a fixed commission (typically $5–$7 per round turn per lot) instead of embedding costs in the spread. Some brokers may also apply overnight financing or swap fees. Always evaluate both the spread and commission together to calculate the true all-in cost before trading.
Which forex broker is best for scalping?
The best forex brokers for scalping in the UK are Pepperstone, IC Markets, and Admirals. They provide ultra-tight raw spreads, lightning-fast execution through ECN liquidity, and no dealing-desk intervention. Their platforms, such as MetaTrader 4, MetaTrader 5, and cTrader, also support one-click trading and minimal latency, making them optimal for high-frequency strategies.
What’s the difference between raw spread and a standard account?
A raw spread account provides direct access to institutional pricing with near-zero spreads and a fixed commission per trade. A standard account combines both the spread and commission into a single cost, resulting in slightly wider spreads but no separate commission. Raw accounts benefit active and algorithmic traders who value transparency and precise cost control, while standard accounts are better suited to beginners who prefer simplicity.
What’s a good spread for EUR/USD?
For retail traders in the UK, a good spread on EUR/USD ranges between 0.0 and 0.8 pips, depending on the account type and market volatility. On professional or ECN-style accounts, spreads can reach 0.0–0.2 pips, while standard accounts typically average 0.7–1.2 pips. Anything consistently above 1.5 pips is considered expensive in today’s competitive market.
Can I get zero spread accounts in the UK?
Yes, many FCA-regulated brokers such as Pepperstone, Admirals, and IC Markets offer zero-spread or raw-spread accounts. These accounts require small commissions per trade but provide institutional-grade execution and direct market pricing. Ensure the broker is fully FCA-authorised and not operating under offshore subsidiaries to retain UK regulatory protection.
Do low spread brokers charge hidden fees?
Legitimate low-spread brokers do not charge hidden fees, but traders should always review the broker’s fee schedule carefully. Hidden costs can appear as currency conversion fees, overnight swaps, or high withdrawal charges. Reading the broker’s terms and conditions and checking average trading cost reports helps confirm pricing transparency. FCA-regulated brokers must disclose all fees clearly under regulatory guidelines.
Is raw spread better?
Raw spread accounts are better for high-volume, scalping, and algorithmic traders because they deliver the tightest market pricing with direct liquidity access. However, for beginners or casual traders, standard accounts are more practical since they simplify cost calculation. The right choice depends on trading frequency, strategy type, and cost sensitivity.
Which forex pair has the lowest spread?
The EUR/USD pair consistently offers the lowest spreads among all forex instruments due to its deep global liquidity. On top-tier UK brokers, raw spreads for EUR/USD often start at 0.0–0.2 pips, followed by USD/JPY and GBP/USD, which average between 0.3–0.8 pips. Exotic pairs such as USD/ZAR or EUR/TRY carry higher spreads due to wider market volatility and lower trading volumes.
