Interactive Brokers vs IG

Interactive Brokers is the better overall broker for experienced investors and active traders who want low foreign exchange costs, global market access and professional-grade trading tools. IG is the better choice for UK spread betting, commission-free UK share dealing and investors who value a simpler platform.

If I had to choose one broker without any other information, I would pick Interactive Brokers (IBKR). Its combination of global market access, low currency conversion costs, listed options and futures, bonds, advanced order types and professional trading infrastructure gives it the stronger overall proposition.

But there are several cases where IG is the better choice, particularly for UK traders who want spread betting or investors building a mostly sterling-denominated portfolio.

Verdict: Interactive Brokers wins overall. IG wins for spread betting and simplicity.

This comparison focuses on UK accounts.

Interactive Brokers vs IG at a glance

Interactive Brokers provides access to stocks, options, futures, currencies, bonds and funds across more than 170 markets in 40 countries. IG separately advertises more than 17,000 trading markets and more than 12,000 stocks and ETFs for investment accounts. Those numbers are not directly comparable because the two companies count market access differently.

Is Interactive Brokers or IG cheaper?

This distinction matters because headline stock commissions only tell part of the story.

Interactive Brokers fees

Interactive Brokers charges trading commissions rather than presenting all share dealing as commission-free.

For UK stocks, IBKR's pricing includes a tiered structure starting at 0.05% of trade value with a £1 minimum, while its simplified fixed pricing is around £3 per trade. US stock commissions can start at $0.0035 per share under tiered pricing.

The bigger advantage is foreign exchange.

Interactive Brokers typically adds 0.03% when using its automatic currency conversion service. Its separately executed spot currency pricing can be lower again for sufficiently large transactions, subject to minimum commissions.

IG fees

IG's current UK charges page advertises:

• £0 investing commission
• £0 platform fee
• £0 custody or inactivity fee
• 0.7% foreign exchange conversion fee

There is an important pricing wrinkle here.

Some IG pages still display a 0.49% FX fee, but those same pages state that the reduced rate was guaranteed only until at least 4 September 2026. IG's main current charges page now lists 0.7%.

Why FX fees can matter more than commission

Consider a UK investor converting £10,000 into US dollars to buy American shares.

At a 0.7% currency conversion charge:

£10,000 × 0.7% = £70

At a 0.03% automatic conversion charge:

£10,000 × 0.03% = £3

The difference is approximately £67 on the currency conversion alone.

If currency conversion is required again when the position is sold, FX costs can apply on both sides of the investment.

That is why IG's £0 commission does not automatically make it cheaper for international shares. A portfolio making frequent GBP-to-USD conversions can easily save more on currency conversion with Interactive Brokers than it spends on IBKR's dealing commissions.

Interactive Brokers itself illustrates a £10,000 US stock purchase at approximately £3.55 total cost using its tiered commission and 0.03% auto-FX assumptions.

Which broker is cheaper for UK shares?

Interactive Brokers charges a transaction commission, although its rates remain relatively low.

Both brokers may also pass through taxes and market charges that are not broker commissions. For example, purchases of many UK shares remain subject to Stamp Duty Reserve Tax.

So the practical fee verdict is:

UK shares bought in GBP: IG often wins.

US and other foreign shares requiring currency conversion: Interactive Brokers usually wins.

Which broker has more markets and investments?

IBKR gives clients access to more than 170 markets across 40 countries and supports stocks, ETFs, listed options, futures, currencies, bonds and funds. Its infrastructure is designed to let one account reach multiple exchanges, currencies and asset classes.

That makes Interactive Brokers particularly strong for investors who want to combine assets such as:

• US and international shares
• ETFs
• government and corporate bonds
• listed options
• futures
• currencies
• mutual funds

IG's range is also substantial. Its investing service advertises more than 12,000 stocks and ETFs, while its leveraged trading business offers access to more than 17,000 markets.

The difference is less about which company can print the bigger instrument count and more about the type of exposure available.

Interactive Brokers is built around direct global market access across a wide range of asset classes. IG is particularly strong in shares, CFDs and spread betting.

Interactive Brokers vs IG for trading platforms

Interactive Brokers platforms

Interactive Brokers offers several interfaces rather than forcing every customer into Trader Workstation.

Its platforms include:

Trader Workstation (TWS) for sophisticated active traders, with advanced order management, charting and multi-asset trading.

IBKR Desktop as a newer desktop platform with a more accessible interface.

IBKR Mobile for advanced trading from mobile devices.

IBKR GlobalTrader as a simpler interface aimed at less experienced stock and ETF investors.

IBKR APIs for systematic traders, developers and automated trading workflows.

Trader Workstation can access stocks, options, futures, currencies, bonds and funds across more than 170 markets.

The trade-off is complexity. TWS is extremely capable, but a first-time investor who simply wants to buy an ETF every month can reasonably find it excessive.

IG platforms

IG's core web and mobile platforms are easier to understand quickly, particularly for discretionary traders.

IG also supports specialist platforms including ProRealTime, MetaTrader 4, MetaTrader 5, TradingView and L2 Dealer. L2 Dealer provides direct market access and exchange order-book functionality for relevant products.

For a trader who primarily wants charts, price alerts, technical analysis and fast manual execution, IG's interface is arguably easier to live with.

For complex portfolios, sophisticated order types, options strategies, APIs or trading across multiple international exchanges, Interactive Brokers is stronger.

Is IG or Interactive Brokers better for spread betting?

Spread betting allows UK traders to speculate on market movements using a stake per point rather than purchasing the underlying asset.

IG currently offers spread betting across thousands of markets, including equities, indices, forex and commodities. Its specialist platform options include TradingView, ProRealTime and MetaTrader alongside IG's own trading interface.

Under current UK tax treatment, spread betting profits are generally not subject to Capital Gains Tax or stamp duty for individuals, although tax treatment depends on personal circumstances and can change.

If spread betting is the main reason you are opening an account, choose IG.

Is Interactive Brokers or IG better for an ISA?

Both brokers offer Stocks and Shares ISAs.

IG currently advertises commission-free investing with no account fee on its ISA. Its investment range includes more than 12,000 shares and ETFs.

Interactive Brokers charges a £3 monthly minimum activity fee on its adult Stocks and Shares ISA. Commissions paid during the month contribute towards that minimum. The IBKR ISA has no minimum deposit and provides access to international investments supported within ISA rules.

That produces a fairly simple decision.

If your ISA mostly contains UK shares or GBP-denominated ETFs and you trade infrequently, IG's zero account fee and zero commission structure is attractive.

If you regularly purchase US or other foreign securities, Interactive Brokers' substantially lower currency conversion costs can outweigh its £3 monthly minimum.

Which is better for a SIPP?

IG provides SIPP investing through Options Pensions, which currently charges an annual administration fee of £210. Investors can use IG's share dealing platform within that structure.

Interactive Brokers does not directly administer SIPP accounts. Instead, a regulated SIPP administrator must onboard the pension before investments can be traded through Interactive Brokers. Fees and conditions therefore depend partly on the chosen administrator.

For somebody who simply wants a pension account without additional administrative complexity, IG has the cleaner proposition.

A sophisticated investor specifically seeking Interactive Brokers' global markets or derivatives capabilities inside a SIPP may still find the extra setup worthwhile.

Which broker is better for active traders?

Interactive Brokers makes more sense if you need:

1. Listed options and futures
2. Professional order types
3. Cheap currency conversion
4. Trading across multiple exchanges
5. API access or automation
6. Bonds and broader fixed-income markets
7. Multi-currency portfolio management

IG makes more sense if your workflow centres on:

1. UK spread betting
2. CFDs
3. Technical charting through TradingView or ProRealTime
4. A cleaner retail interface
5. Fast discretionary trading rather than complex portfolio execution

This is one of the reasons a single "best trading platform" score can be misleading. The two brokers overlap, but their strongest use cases are different.

Which is better for beginners?

IG is easier for most beginners.

Interactive Brokers has made substantial progress with IBKR GlobalTrader and its newer IBKR Desktop platform, but the wider Interactive Brokers ecosystem still exposes users to considerably more functionality.

That complexity is valuable when you need it and unnecessary when you do not.

A new investor whose entire strategy is buying a few shares or ETFs is likely to find IG easier to understand.

A beginner who already knows they want international markets, options or more advanced portfolio tools may be better served learning Interactive Brokers from the start.

Are Interactive Brokers and IG safe?

Interactive Brokers (U.K.) Limited is authorised and regulated by the Financial Conduct Authority under FCA reference number 208159. Eligible claims may receive Financial Services Compensation Scheme protection of up to £85,000 where applicable. FSCS protection does not compensate investors simply because their investments fall in value.

IG operates its UK services through regulated entities including IG Markets Ltd, IG Trading and Investments Ltd and IG Index Ltd. Those entities are authorised and regulated by the FCA. IG also states that eligible client assets and funds may receive FSCS protection of up to £85,000 in the event of an applicable shortfall following firm failure.

The important distinction is between broker failure risk and investment risk. FCA regulation and FSCS eligibility do not protect you from losing money because a share falls, an options position expires worthless or a leveraged trade moves against you.

Interactive Brokers vs IG: which should you choose?

Interactive Brokers is particularly compelling if you buy foreign shares regularly. The difference between roughly 0.03% automatic FX conversion and IG's currently published 0.7% rate becomes economically significant as portfolio size and trading frequency increase.

Choose IG if you want UK spread betting, simple commission-free share dealing or an easier investing interface.

IG is also attractive for investors who mainly hold GBP-denominated assets because its zero dealing commission can matter more when foreign exchange costs are largely irrelevant.

Best broker by use case

You mainly want to...	Better choice
Invest globally	Interactive Brokers
Buy US shares regularly	Interactive Brokers
Trade listed options	Interactive Brokers
Trade futures	Interactive Brokers
Buy bonds	Interactive Brokers
Automate trading through APIs	Interactive Brokers
Spread bet in the UK	IG
Buy UK shares with minimal dealing fees	IG
Use a simpler retail platform	IG
Use TradingView or ProRealTime	IG
Build a simple UK-focused ISA	IG
Build an internationally focused ISA	Interactive Brokers
Open a straightforward SIPP	IG

Interactive Brokers vs IG FAQs

Is Interactive Brokers cheaper than IG?

The cheapest broker therefore depends on what you trade rather than the advertised commission alone.

Is IG better than Interactive Brokers for day trading?

A UK trader primarily spread betting indices may prefer IG. An active options trader accessing US exchanges would generally be better served by Interactive Brokers.

Is Interactive Brokers better than IG for US stocks?

IG's zero stock commission looks attractive, but its currently published 0.7% FX conversion fee can outweigh that saving on larger transactions.

Can you have both Interactive Brokers and IG accounts?

Yes. The two accounts can complement each other.

For example, a trader could use Interactive Brokers for international shares, options and long-term multi-asset investing, while using IG specifically for UK spread betting.

There is little reason to force every strategy through one broker when each provider has a clear structural advantage in different areas.

Final verdict: Interactive Brokers wins overall

Its global exchange access, multi-asset range, low currency conversion costs and professional trading infrastructure give it the higher ceiling.

IG remains the better broker for several important niches. It is the clear winner for UK spread betting, its platform is easier for many retail investors, and commission-free share dealing makes it particularly competitive for GBP-denominated portfolios.

The decision therefore comes down to what you actually intend to trade:

Choose Interactive Brokers for global investing and advanced trading. Choose IG for spread betting, simplicity and low-cost UK share dealing.

Investments can fall as well as rise. Leveraged products such as CFDs and spread bets can produce losses rapidly. Tax treatment depends on individual circumstances and can change.