IG, the world’s largest spread betting broker, has announced a series of pricing updates that will take effect on 19 December 2025, affecting UK small-cap share spreads, forex overnight funding charges and spread caps on US equities. The changes mark one of the most significant adjustments to IG’s spread betting cost structure in recent years and are designed, the broker says, to reflect rising market and operational costs while maintaining a competitive trading offering.
The most notable increase applies to UK non-FTSE 350 shares. Spreads on small-cap stocks will rise as IG cites higher costs associated with facilitating trading in less liquid markets. Small caps have always been a specialist area for spread bettors, with wider and more volatile spreads compared to large-cap equities. IG says the adjustments will ensure that it can continue providing access to this part of the market while managing the additional risks and overheads required to price it effectively.
Alongside share spread changes, the funding costs for Daily Funded Bets (DFBs) on UK small caps are also moving higher. The daily funding rate will rise from 0.35 percent to 0.50 percent, while quarterly bets will shift to tiered charges of 0.75 percent for near-dated contracts, 0.85 percent for far-dated and 1.00 percent for very far-dated positions. These increases will apply across all relevant UK small-cap markets on the platform.
Forex traders will also see higher costs. IG is raising its admin fee on forex and spot metal overnight funding from 1.0 percent to 1.5 percent, reflecting industry-wide adjustments. The total overnight funding charge will still include the tom-next rate, and IG highlights that the increase brings its fees in line with current market conditions.
US equity traders will experience a smaller but still meaningful change. The spread cap on US shares will increase from $0.06 to $0.10. IG says the update keeps the cap aligned with rising US share prices, helping maintain predictable maximum trading costs even for higher-priced stocks.
The broker emphasised that the updates are necessary to maintain service quality amid changing market dynamics, particularly in areas where volatility and liquidity pressures require more capital and risk management.
The company has directed clients to its help and support channels, including its newly launched WhatsApp service, for questions about how the new pricing structure may affect their trading.
The changes come at a time of increased competition among UK spread betting providers, many of which are also adjusting their pricing models to reflect higher execution and funding costs. For active traders, especially those operating in small-cap equity and forex markets, the new rates could influence strategy, position sizing and holding periods in the months ahead.
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