The Retail Broker Order Book Trading Scheme enables fee waived order book trading for qualifying retail orders across the following trading services: 
i.    Equities 
ii.   International Order Book 
iii.  ETFs/ETPs 

Subscribing retail brokers and retail intermediaries can trade directly on our Central Limit Order Book, with the value of all orders executed through the scheme set at 0.00 basis points. 

Retail investors play a major role in capital markets, contributing to market liquidity and driving market sentiment. In 2023, 15% of follow-on equity capital raisings by FTSE 100 companies included a retail element. Fast forward to 2024, and that figure jumped to 100% (Similarly, 22% of the IPOs in London, in 2023, included a retail element. This increased to 35% in 2024 (RNS announcements via Investegate).

This trend highlights the rising participation levels of retail investors, and their increasing importance to UK Capital Markets.

There is widespread recognition across the Government, regulators and the ecosystem that retail access to markets is critical. The FCA has made detailed proposals as part of the Advice Guidance Boundary Review to help broaden access to the financial advice many individuals want. More recently, the FCA also set out further proposals to support growing business and investment opportunities, including easing the process for UK listed companies to issue corporate bonds and make them more accessible for retail investors.

The London Stock Exchange has long advocated for the greater inclusion of retail investors in UK capital markets, so that retail investors can share in the growth of UK companies, and so we continue to seek ways to reduce the friction for investors to access our markets.

ABN Amro Clearing Bank and Interactive Brokers UK are the first adopters of the Retail Broker Order Book Trading Scheme, recognising the importance of allowing Retail access to our markets. 

Doeko Doets, Prime Clients, ABN Amro Clearing Bank said  ‘We’re excited to be part of this initiative at ABN AMRO Clearing Bank, strengthening our offering for retail brokers. By enhancing liquidity solutions, we’re helping brokers to provide the best possible service to their clients, fostering broader retail participation in the industry’

Gerry Perez, Chief Executive of Interactive Brokers UK, said  ‘Today, retail investing holds a greater importance in financial markets. The London Stock Exchange's Retail Broker Order Book Trading Scheme represents another significant step in providing retail investors with exchange trading. We at Interactive Brokers welcome this milestone for retail investing.’

The Scheme expands the suite of solutions available for the retail trading community across LSEG, The London Stock Exchange recently announced it was removing fees for retail investors to access real-time market data from the Exchange, enabling retail brokers to provide high-quality, real-time data based on liquid markets to eligible customers free of end user charges: Retail investors – democratising access to UK capital markets | London Stock Exchange. LCH EquityClear Ltd has reduced clearing fees to zero and announced various other discounts on flows identified as originating from retail investors, including on eligible ETP/ ETF settlements. The London Stock Exchange’s Hosting & Connectivity division has also announced discounted direct connectivity for qualifying Retail Brokers and Intermediaries.

Learn more about the London Stock Exchange’s offering for retail broker and intermediaries here: Retail Brokers & Intermediaries | London Stock Exchange

For more information contact: 
Will Fenna, Retail Broker & Digital Wealth Lead 
william.fenna@lseg.com