FAQs<\/a>\n\n <\/div>\n\n <\/li> <\/ul>\n<\/div>\n\nBest Low Spread Forex Brokers in the UK 2025<\/h2>\n
There are several brokers out there that allow you to trade on forex currency pairs with low spreads. Here is an overview of the options available to UK traders.<\/p>\n
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\n- XTB<\/strong><\/a> \u2013 Multiple award-winning forex brokerage that offers trades access to 48 currency pairs and uses the xStation 5 trading interface. \u00a0XTB provides more than 2100 trading instruments in total. This makes it a tempting choice for anyone wishing to diversify their portfolio.<\/li>\n
- AvaTrade<\/a> <\/strong>\u2013 UK regulated brokerage platform that offers numerous trading interfaces for a limitless trading experience. \u00a0The platform provides access to over 50 currency pairs, including major, minor, and exotic pairs, allowing traders to diversify their portfolio.<\/li>\n
- Admiral Markets<\/strong><\/a> \u2013 Admiral Markets classes itself as an investment ecosystem and is an award-winning regulated broker in the UK. Offers its client base the chance to trade on desktop or remotely on-the-go using their mobile trading application which is available for both iOS and Android users.<\/li>\n
- Pepperstone<\/strong><\/a> \u2013 Voted the TradingView Broker of the Year 2022 and Best MetaTrader 4 Brokerage 2023. It allows clients to trade assets using a variety of trading platforms including the world-renowned MetaTrader 4 and 5 interfaces.<\/li>\n
- Trade Nation<\/strong><\/a> \u2013 A brokerage platform offering a range of assets regulated by financial bodies worldwide, including the UK Financial Conduct Authority since 2014.<\/li>\n<\/ol>\n
Visit XTB<\/span><\/a>\n<\/p>\n<\/p><\/div><\/div>\n
What Are Forex Spreads?<\/h2>\n
A forex spread is one of the many ways in which a forex brokerage platform makes its profits<\/strong>. Whenever you place an order on the market, there is a difference between the price at which you are willing to buy a particular forex currency pair and the price at which the seller is willing to sell their currency pair. The difference between these two prices is called the spread, and it is how exchanges make their money.<\/p>\n![\"low](\"https:\/\/tradingplatforms.com\/uk\/wp-content\/uploads\/sites\/2\/2024\/02\/pexels-alesia-kozik-6781273.jpg\")
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However, low spread brokers these days are market makers. Therefore, they do not directly fulfill your order at the exchange. On the other hand, they observe the current price of whatever currency pair you are looking to trade<\/strong>, and then they give you their own buy and sell price based on the current market price. If you, for example, place a buy order on the USD\/EUR pair, then your broker will take on the other side of the transaction and sell you USD\/EUR pairs.<\/p>\nThey will then set off this position in the market or by combining a buy position from you and a sell position from someone else. What this means is that market maker brokers do not actually fulfill your order directly at the exchange, but they take on the other side of the transaction themselves.<\/strong> The fee that they charge for doing this is called the spread and is visible as the difference between the buy and the sell prices of the pair.<\/p>\nThis is why, if you decide to buy and sell something instantly, you will actually end up booking a loss, because the selling price for a currency pair on a market-making platform is always lower than the buy price at any given point in time<\/strong>. This is called the spread. This is the way commission-free platforms such as XTB make their money.<\/p>\n