Which broker has the best spreads overall in the UK?
Verdict
- Pepperstone has the best overall spreads we can verify in the UK. Its published pricing is the tightest we found across FX (0.1 pips average on EUR/USD on Razor), gold (0.12 average), indices (US500 from 0.4) and UK share CFDs (0.10% per side).
- Pepperstone's figures are the only full set of averages we have. CMC Markets (gold from 0.2, EUR/USD from 0.5) and IG (EUR/USD from 0.6) publish minimums, and Capital.com publishes live spreads only.
- Overall cost also includes commission, overnight financing, currency conversion and withdrawal fees. Pepperstone charges no inactivity fee, but its pages disagree on whether international wires cost £15.
- For the lowest Pepperstone cost, use Razor on cTrader for FX and the spread bet or Razor for indices.
One broker can be cheapest on EUR/USD and expensive on the FTSE, so 'best spreads overall' needs a market-by-market look. Pepperstone publishes figures for every major asset class on its UK pages, which most rivals don't. Here they are, followed by the costs that never show up in a spread.
Pepperstone has the tightest published spreads across markets
Pepperstone Limited (FCA 684312) publishes minimum spreads on its UK pricing page for each account and each major market, and it publishes averages for FX and gold. No other FCA-authorised firm in our data covers as many markets or publishes averages at all. The best Pepperstone account depends on the market, as the table shows.
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Market by market: Pepperstone's cheapest account
| Market | Cheapest account | Published spread | Plus |
|---|---|---|---|
| EUR/USD | Razor | 0.1 pips average (0.0 minimum) | Commission: £2.25 per side (GBP) or $3.00 on cTrader |
| GBP/USD | Razor | 0.2 pips average (0.0 minimum) | Commission as above |
| Spot gold | Razor | 0.12 average (0.08 minimum) | Commission from £2.25 per side |
| US500 | Razor or spread bet | 0.4 minimum | Spread bet: no commission |
| UK100 | Razor or spread bet | 1 minimum | Spread bet: no commission |
| UK share CFDs | Standard or Razor | Market spread | 0.10% per side, minimum £0.01 |
Which broker has the lowest overall trading costs in the UK?
On published figures, Pepperstone. But your total also depends on costs that never appear in a spread table, and they can outweigh a fraction of a pip:
- Overnight financing: charged on positions held overnight. At Pepperstone, spread bets pay it after 10pm UK time. On trades held for weeks it is often the biggest single cost.
- Currency conversion: trading US markets from a GBP account means converting profits and losses. Trading 212, for example, lists a 0.5% FX fee on its CFD account. Pepperstone lets you hold USD, EUR or CHF as well as GBP.
- Withdrawals: Pepperstone's withdrawals table lists every method as free, but its costs FAQ mentions £15 for international wires.
- Inactivity: Pepperstone charges none. Small accounts unused for three months may be archived.
- Guaranteed stops: a guaranteed stop costs extra at IG and CMC, so it adds to the price but also caps the loss. Pepperstone doesn't offer them.
How to compare spreads without being misled
- Use averages where you can find them, and treat 'from' or 'as low as' as best-case figures.
- Add commission to raw spreads before you compare them with commission-free accounts.
- Compare at the time of day you actually trade, since spreads are variable at Pepperstone and at most rivals.
- Compare in one currency, because Pepperstone's commission is £2.25 in GBP and $3.50 in USD per side on MT5.
Sources
Is the broker with the lowest EUR/USD spread always cheapest overall?
No. If you trade indices, shares or gold, or hold positions for weeks, financing and commissions on those markets can matter more than the EUR/USD spread.
Why does Capital.com not appear in the price comparison?
It shows live spreads on its platform and publishes no fixed or average figure, so we have nothing reliable to put in a table.
Does Pepperstone add a mark-up on its Standard account?
Yes. Pepperstone says Standard has no commission, and its cost is a 1-point mark-up on FX built into the spread.
Low spreads don't make leveraged trading safe. CFDs and spread bets can lose money rapidly, and 73.6% of retail investor accounts lose money with Pepperstone Limited. Spreads vary with market conditions, and the figures shown are as each firm publishes them. This is not investment advice.