Best Options Brokers In The UK 2025

Author

Christian Harris

Christian is a UK-based investment writer who's been actively trading an array of financial instruments for over 5 years. Having used most of the major brokers in the UK, Christian provides valuable insights on all things investing for British traders.

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Editor

James Barra

James is a UK-based writer and investor with consultancy experience at some of Britain's largest financial organisations. James authors, edits and fact-checks content for a row of investing websites.

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Fact Checker

Michael MacKenzie

Michael is a UK-based investment writer with over 10 years of experience in the journalism industry. Michael has critically evaluated many of the largest investment brokers in the UK, offering authentic insights.

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Looking for the best options brokers in the UK? We’ve reviewed the top platforms tailored for British investors, focusing on FCA regulation, clear options contracts, GBP accounts, and UK-based customer support.

How Did Investing.co.uk Choose The Best Options Brokers?

Our review process started by verifying that each broker in our expanding database offers options trading and accepts clients from the UK.

We then applied our proprietary evaluation system, which scores brokers across more than 200 metrics and eight core areas – options contracts, fee structures, platform functionality, and compliance with FCA regulations.

To fine-tune our rankings for options-focused traders, we collected in-depth data on factors like trading costs for key UK assets like the FTSE 100 and GBP/USD and access to widely traded commodities and global stocks. This approach ensures our recommendations reflect the practical needs of UK-based options traders.

What Is An Options Broker?

An options broker is a financial services provider that enables you to trade options contracts—derivatives that give you the right, but not the obligation, to buy or sell an underlying asset at a specified price within a specific timeframe.

For UK investors, options brokers are the gateway to domestic and international options markets, offering access to instruments based on equities, indices like the FTSE 100, commodities, and currency pairs such as GBP/USD.

In the UK, a reputable options broker is typically authorised and regulated by the Financial Conduct Authority (FCA). This regulator ensures that client funds are protected and that the broker adheres to strict standards of transparency and conduct. This regulation is significant for margin trading, where the potential for both gains and losses is amplified.

Options brokers catering to British clients often provide GBP-denominated accounts, detailed margin requirements, and trading platforms with risk management tools.

Many also offer educational resources and demo accounts, allowing you to familiarise yourself with options and strategies before committing to real capital.

Whether hedging a portfolio or speculating on market moves, a reliable UK-based options broker can help you navigate this complex and potentially rewarding market.

How To Choose An Options Broker In The UK

Options Contracts

One of the most practical things I’ve learned about choosing an options broker is that market variety and instrument access can make or break your strategy.

It’s not just about having more symbols to trade—it’s about executing the right trade at the right time, on the right underlying. That requires access to liquid, diverse markets with transparent pricing and flexible expiry dates.

Brokers like Interactive Brokers and Saxo Markets offer options on FTSE 100, GBP/USD, and popular UK-listed stocks. However, they stand out in access to US markets—think names like Apple, Tesla, or the SPY ETF, which can see daily options volume in the hundreds of thousands.

Trading a weekly credit spread on SPY with tight bid-ask spreads and a few pence in commission means you can scale your positions more effectively without getting hurt by slippage.

Beyond stocks, access to index options and sector ETFs (like the XLF for financials or XLE for energy) gives you a massive edge—especially when the broader market reacts to interest rates, earnings season, or political events.

I hedged my portfolio with a short-term FTSE 100 put spread during the last Bank of England rate decision. Without access to index-based options, I wouldn’t have had a precise, cost-efficient way to express that view.

Christian Harris

Author

Expiry flexibility is another often-underestimated factor. Selecting between weekly, monthly, and long-term options is crucial for strategy design.

For example, I regularly build diagonal spreads that combine near-term short options with long-dated longs. Access to LEAPS on US equities through my broker has allowed me to maintain a core directional bias while managing the shorter leg for time decay.

If you’re serious about diversification, access to global markets is key. Through platforms like IG or IBKR, you can trade options on commodities (like gold or oil), currency pairs, or international indices like the DAX or Nikkei 225.

This can be especially useful when UK markets are in a lull—having exposure to Asian or US volatility opens up more consistent opportunities throughout the week.

Top pick for options contracts: IG stands out among UK brokers for its diverse and flexible options contracts. It offers a broad selection of expiry dates and strike prices across equity, index, and forex options. IG’s platform supports complex strategies with customisable contract terms, giving you precise control over your positions.

Regulation

When choosing an options broker in the UK, regulatory protection and platform security should be top priorities. You’re relying on the broker to execute your trades accurately and place your money, personal data, and long-term financial interests in their hands.

Always opt for a broker authorised and regulated by the FCA to ensure your investments are handled responsibly. FCA-regulated firms must follow strict rules around client fund segregation, negative balance protection, and transparency—giving UK investors confidence that their capital is held securely and that the broker operates within a robust legal framework.

If a UK-regulated broker fails, eligible clients are typically protected under the Financial Services Compensation Scheme (FSCS), which may cover losses up to £85,000 per person. While this doesn’t protect against trading losses, it does offer a vital safety net against broker insolvency.

Strong cybersecurity measures are equally important. Look for platforms that offer two-factor authentication (2FA), encryption of sensitive data, and device or login authorisation protocols.

This is particularly critical when managing complex or time-sensitive options positions, such as multi-leg spreads, where financial and digital security play a key role in safeguarding your strategy.

Top pick for UK regulation and trust: Interactive Brokers regularly tops our list as the most regulated and trusted UK-based options broker. Fully authorised by the FCA, it offers strong investor protection, transparent fees, and robust risk management, making it a top choice for UK options traders.

Trading Platforms

For UK-based options traders, your trading platform isn’t just where you place orders—it’s your full command centre. From analysing setups to managing live positions and risk, the platform you choose will shape how efficiently and confidently you trade.

A broker that supports complex order building and real-time modelling can make trading spreads, straddles, or diagonal setups much easier.

For instance, platforms like Interactive Brokers’ Trader Workstation (TWS) let you simulate your max gain/loss, breakeven point, and margin impact before you commit to the trade—something I’ve relied on when managing overlapping positions on the FTSE 100 or large-cap US equities.

Over time, I’ve learned that even slight differences in platform tools can have a meaningful impact on execution, especially when working with multi-leg strategies or navigating volatile markets.

Christian Harris

Author

Charting is another big one. Many traders overlook the importance of in-platform technical tools until they find themselves switching back and forth between third-party software.

Look for a platform with built-in indicators like MACD, RSI, and Bollinger Bands, plus the ability to draw zones and track trends. SaxoTraderGO and IG’s web-based platforms offer clean, responsive charting that’s more than enough for most technical setups.

If you’re more visually driven, I’ve found TradingView integrations or APIs to be an excellent bonus—especially for multi-timeframe analysis.

A well-organised, data-rich options chain is essential for options specifically. You want visibility into implied volatility, Greeks (delta, theta, and vega), open interest, and real-time bid/ask spreads. Without this information, assessing whether a trade idea makes sense or the risk/reward is skewed by poor liquidity is difficult.

Order execution is where top brokers stand out. UK brokers like Interactive Brokers and Tastytrade (now integrated into IG) offer a solid mix of Good-’Til-Cancelled (GTC) orders, OCOs, and bracket orders, which are incredibly useful when you want to automate exits and maintain structure in your trades.

I often place a GTC profit target and a stop-loss simultaneously when entering credit spreads. This saves time and prevents me from reacting emotionally when volatility spikes.

Lastly, mobile access has become non-negotiable. Whether you’re away from your desk or reviewing trades on the move, a mobile platform that supports complete trade management—not just price checking—is a significant advantage.

I’ve adjusted and rolled multi-leg positions from my phone using apps like IBKR Mobile, which impressively mirrors desktop functionality.

Top pick for trading platforms: Interactive Brokers‘ Trader Workstation consistently stands out for its advanced tools, real-time analytics, and fast execution across global options markets. Fully FCA-regulated and highly reliable, it remains one of our top recommendations for serious options traders in the UK.

Margin Requirements

When trading options through a UK broker, getting to grips with margin requirements is not just a technical detail—it directly shapes what you can and can’t do in the market.

In practical terms, margin dictates the capital you need to reserve for each position, which significantly affects position sizing, trade selection, and portfolio flexibility.

Most UK brokers—such as Interactive Brokers or Saxo—calculate options margin based on maximum potential loss. For example, if you open a defined-risk trade like a vertical credit spread, your margin is typically limited to the difference between strike prices minus the premium received.

Depending on volatility and broker policy, your margin on a £5-wide FTSE 100 credit spread might be as low as £400–£450. In contrast, placing a naked call or put on the same index could require several thousand pounds in margin due to the unlimited risk profile.

In my own experience, brokers that show the margin impact before trade confirmation make it far easier to manage exposure. With platforms like TWS (from Interactive Brokers), you can see margin requirements update in real-time as you build a multi-leg position.

This is especially helpful when trading something like a diagonal spread, where time and volatility affect your risk profile. If implied volatility spikes or the underlying stock moves sharply, seeing how your margin adjusts on the fly gives you a huge edge in managing risk proactively.

Moreover, margin policies also influence how many trades you can have open at once. If your broker uses more conservative models, you might only be able to manage 2–3 larger positions in a £10,000 account.

But with a broker that optimises for defined-risk strategies, you may have room to diversify across sectors or time frames without tying up too much capital in each trade.

Fees, Spreads & Commissions

When picking an options broker in the UK, fees and commissions can quickly add up and impact your bottom line—especially if you’re actively trading or working with complex multi-leg strategies.

Most UK brokers charge per-contract commissions for options, ranging from around £0.50 to £1.50 per contract. Popular platforms like IG or Hargreaves Lansdown charge at the higher end, roughly £1.50 per contract.

In contrast, others, such as Interactive Brokers, can go as low as £0.50, which makes a massive difference if you’re scaling up your trades or opening multiple legs.

Spreads can be overlooked but are just as important. Options on UK indices like the FTSE 100 often have tighter spreads due to higher liquidity, but if you’re trading less popular stocks or longer-dated contracts, expect wider spreads that can add hidden costs.

Spreads can widen noticeably on volatile days, so a broker connected to deep liquidity pools has a real advantage.

One subtle but impactful cost I’ve seen is currency conversion fees. If your broker doesn’t offer GBP-denominated options accounts, converting between GBP and USD (for US equity options) can chip away at profits.

Christian Harris

Author

Some brokers add 0.5% or more per conversion—something to watch closely if you trade US markets regularly.

Also, watch for smaller fees like platform access charges or inactivity fees. While these may seem minor, they add up over time, especially if you’re trading less frequently or just starting.

When comparing options brokers, it pays to calculate the all-in trading cost per strategy, including commissions, spreads, currency fees, and other charges. This hands-on approach helps avoid surprises and ensures you keep more gains.

Top pick for fees, spreads and commissions: Interactive Brokers impresses with its low-cost and transparent fee structure. The combination of tight spreads, clear commissions, and robust execution makes IBKR a top choice for those prioritising cost efficiency and transparency.

Are UK Options Brokers Safe?

UK options brokers are generally safe if they’re authorised and regulated by the Financial Conduct Authority (FCA). FCA-regulated brokers must meet strict standards for client fund protection, operational transparency, and financial stability.

Many also offer segregated client accounts and FSCS protection (up to £85,000) if the firm goes under. Always check the broker’s FCA registration before opening an account.

Bottom Line

Selecting the right broker for UK trading options goes well beyond finding low commissions. It’s about choosing a platform that helps you make informed decisions, execute trades smoothly, and manage risk over several days.

Top-tier UK options brokers provide reliable platforms, transparent margin requirements, and competitive contract pricing—giving you the confidence to hold positions overnight without surprises.

Whether trading spreads or single-leg contracts, every detail—from order execution speed to fee clarity—can impact your results.

A dependable options broker helps you stay focused on your strategy, not on platform issues and positions you to trade more consistently and effectively.