In brief: The FCA says 21 CFD firms have shut down since 2025, and three more are cancelling their permissions. It found they were using a UK licence mainly to make linked offshore companies look safe. For anyone referring UK traders to a broker, the lesson is this: the entity a client actually signs up with matters as much as the regulator logo on the page.
What happened
On 25 September 2026, the Financial Conduct Authority announced that 24 CFD providers have closed or are closing, following a supervisory push that began in 2025. Twenty-one have already exited, and three are in the process of giving up their permissions.
The FCA calls this pattern misuse of UK authorisation. The firms did little business in the UK themselves. Instead, their FCA status acted as a trust signal for related companies based overseas. Clients came away thinking they were dealing with a UK-regulated firm and were covered by UK protections, when in reality their contract was with an offshore entity outside the FCA’s reach.
Closure was not the only outcome. The regulator also restricted some firms’ trading, ordered independent reviews of their business, and opened enforcement investigations into the two most serious cases. It has not named any of the firms.
How we got here
This is the latest step in a sustained UK campaign against CFD firms:
- 2019: permanent retail CFD rules come in, including leverage caps, negative balance protection and a ban on trading bonuses.
- December 2024: the FCA writes to CFD firm CEOs setting out its supervisory priorities for the sector.
- 30 October 2025: the FCA warns consumers about firms steering UK clients to overseas group entities, and pushing them to opt up to “professional” status. Both routes strip out leverage limits and other protections. The same warning cited one offshore firm, promoted by finfluencers, where more than 90,000 people lost around £75 million over four years.
- 25 September 2026: the FCA announces the 24 closures.
Who it affects
- Partners with UK audiences who refer to broker groups that run both an FCA-authorised entity and offshore entities. This covers IBs, CPA and revenue share affiliates, influencers, and copy trading and signal providers.
- Anyone whose content leads with “FCA-regulated” while the sign-up flow can land a UK resident with an offshore entity.
- Master IBs and multi-tier networks. A sub-partner cutting corners on UK traffic is your exposure too, and brokers will treat it that way.
- Partners of the affected firms. If a broker you work with is exiting the UK, your UK client book and the commissions on it are at risk.
What partners should do
- Test your own funnel. Go through sign-up as a UK resident using your partner links. Check which legal entity appears on the client agreement, not just the homepage.
- Be precise about regulation. Name the entity and its regulator (“X Ltd, authorised by the FCA”) rather than attaching “FCA-regulated” to a whole brand.
- Never route UK clients offshore, or encourage them to opt up to professional status for higher leverage or bonuses. This is exactly the behaviour the FCA has flagged.
- Get your promotions approved. In the UK, financial promotions made by someone who isn’t authorised generally need approval from an authorised firm. Ask your broker to sign off your content, and keep records.
- Read your contract for exit terms. Find out what happens to your clients and commissions if the broker’s UK entity closes or changes.
Our take
The FCA is targeting the gap between the licence shown on the website and the entity named in the contract. That gap is usually created in the marketing funnel, which is exactly where partners operate.
Expect brokers with UK entities to tighten partner onboarding, geo-controls and content approval for UK traffic, and to write more of that responsibility into partner agreements. Partners who can show a clean UK funnel become more valuable. Programmes that depended on moving UK traffic offshore will quietly disappear.
Watch the two enforcement investigations. When enforcement cases conclude, the final notices tend to set out in detail how clients were acquired, and that is where partner practices get named.
Key dates
- 2019: permanent retail CFD restrictions
- 13 December 2024: FCA letter to CFD firm CEOs on priorities
- 30 October 2025: FCA warning on offshore redirection and professional opt-ups
- 25 September 2026: FCA confirms 24 CFD firms closed or closing
FAQ
Can I still promote FCA-authorised brokers to UK traders?
Yes. The crackdown is aimed at firms using UK authorisation as cover for offshore business, not at legitimate UK brokers. Make sure UK clients open accounts with the UK entity, and that your promotions are compliant and approved.
Is it a problem to send UK traders to an offshore broker?
It carries serious risk. Promoting unauthorised firms to UK consumers can breach UK financial promotion rules, and the FCA is actively targeting both the firms and the people promoting them. Take legal advice for your own situation.
Which firms were closed?
The FCA has not published names. If you are unsure about a broker you work with, check its UK entity on the FCA Register and ask the broker directly about its UK plans.
Sources
- FCA: Twenty-four CFD firms closing in crackdown on misuse of UK authorisation (25 September 2026)
- FCA: Investors in CFDs risk losing out on protections (30 October 2025)
- FCA portfolio letter to CFD firms (13 December 2024)
This article is general information, not legal advice. Regulatory requirements depend on your circumstances and jurisdiction.
