Does Pepperstone charge overnight financing on spread bets?
Verdict
- Yes. Pepperstone charges an overnight fee on spread bets still open after 10 pm UK time; close before then and you pay none.
- Spread bets carry no commission at Pepperstone, so the spread plus any overnight fee is your full trading cost.
- Pepperstone's swap-free account is limited to residents of 23 listed countries, and the UK is not one of them.
- Capital.com, our second UK choice, also offers spread betting; its swap-free account is likewise restricted to a list of Middle East and North African countries.
Pepperstone does charge overnight financing on spread bets. It works like the swap on a CFD: the fee applies to positions you carry past the daily cut-off, which Pepperstone sets at 10 pm UK time. Here is what that means for day traders and swing traders, and what to check before you hold a bet for days.
The rule: positions held past 10 pm UK time pay a fee
Pepperstone's UK cost page says overnight fees apply to spread betting positions held past 10 pm UK time. There is no commission on spread bets, so a trade opened and closed within the same session costs only the spread, for example a published minimum of 0.5 on EUR/USD or 1 on the UK 100. Pepperstone remains our pick for UK spread betting because of those low published spreads and the choice of five platforms, but if you hold positions for weeks the overnight fee will matter more than the spread.
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Who pays, and how much it adds up
- Day traders who close before 10 pm UK time: no overnight fee at all.
- Swing traders holding a few nights: one charge per night held past the cut-off.
- Position traders holding for weeks: the fee compounds over time and can exceed the spread many times over.
- Pepperstone does not set out a single financing rate on the UK pages we verified. Check the rate on each market in the platform before you hold a position.
Can you avoid it with a swap-free account?
Not as a UK resident. Pepperstone's swap-free account is offered only to residents of 23 listed countries, including Kuwait, Qatar, Bahrain, Oman, Turkey and Malaysia; the UK is not on the list. Capital.com's swap-free account covers a different list (UAE, Kuwait, Qatar, Bahrain, Oman, Jordan, Saudi Arabia, Egypt, Lebanon, Tunisia, Algeria and Morocco), so it is not open to UK residents either.
Spread bet cost check at Pepperstone
| Cost item | Applies? | Detail |
|---|---|---|
| Commission | No | Spread bets are commission-free |
| Spread | Yes | Published minimums, e.g. EUR/USD 0.5, GBP/USD 0.8, US 500 0.4 |
| Overnight fee | Yes, if held past 10 pm UK time | Rate shown per market; check before holding |
| Inactivity fee | No | No account-keeping fee |
Questions to ask before holding a bet overnight
- What is the current long and short financing rate on this market?
- Is the weekend charged, and on which night?
- Would the CFD or Razor account be cheaper for this holding period?
Sources
What time does Pepperstone charge overnight fees on spread bets?
On positions held past 10 pm UK time.
Is there any commission on Pepperstone spread bets?
No. You pay the spread, plus an overnight fee if you hold past the cut-off.
Can UK residents get a swap-free spread betting account at Pepperstone?
No. The UK is not among the 23 countries whose residents can open Pepperstone's swap-free account.
Spread betting is leveraged and risky: you can lose money quickly, and holding costs reduce returns over time. Pepperstone says 73.6% of retail investor accounts lose money when trading spread bets and CFDs with it. Not investment or tax advice.