FCA Says 24 CFD Firms Are Closing or Cancelling Permissions After Authorisation Crackdown

The Financial Conduct Authority says 21 CFD firms have closed since 2025 and another three are cancelling their permissions after its crackdown on the misuse of UK authorisation. The regulator published the update on 25 September.

According to the FCA, its concerns focused on firms with little UK business that used their authorised status to make linked overseas businesses appear UK-regulated. That can leave customers with the wrong impression about which entity they are dealing with and whether UK protections apply. The FCA says it has used measures including trading restrictions, independent business reviews and enforcement investigations in two of the most serious cases.

The announcement does not identify every firm affected. It is instead a sector-level enforcement update on how the FCA is policing the use of UK regulatory status in the CFD market.

Why it matters

CFD traders should confirm the exact legal entity named in their account agreement, rather than relying on a group brand or a claim of UK regulation. An overseas entity connected to a UK-authorised firm may not provide the same regulatory protections. The FCA says its Firm Checker can help users verify a firm’s permissions.

What to watch next

Watch for further FCA enforcement notices or restrictions involving CFD firms that market through overseas affiliates. Traders considering a new provider should check the entity and permissions before funding an account.