Robinhood UK: No Direct FX Fees, But a 0.03% Third-Party Cost Applies
Robinhood UK promotes “no foreign exchange (FX) fees” for its customers trading US-listed stocks.1 While technically true that Robinhood doesn’t levy its own separate commission for currency conversion, there is an “implicit third-party cost” of 0.03% applied to all GBP to USD conversions.2
This charge is factored into the exchange rate you receive when you deposit or withdraw funds from your account. For example, on a £1,000 transfer to your USD balance, this would amount to a cost of £0.30.
This structure is a key part of Robinhood’s offering in the UK, which aims to provide a low-cost platform for accessing the US stock market. The company emphasizes that this 0.03% cost is from a third party and not a direct fee from Robinhood itself.3
It’s important for users to be aware of this cost, as it will affect the final amount of USD they have available for trading and the GBP amount they receive upon withdrawal. While small, this percentage can become more significant with larger transaction volumes.
In addition to this currency conversion cost, other standard regulatory and trading activity fees may apply to transactions on the platform.4 Users are encouraged to review Robinhood’s official UK fee schedule for a comprehensive understanding of all potential charges.