Financial Conduct Authority (FCA)
FCA confirms permanent ban on the sale of binary options to retail consumers
The FCA confirmed permanent rules prohibiting firms from selling, marketing or distributing binary options to retail consumers, with the rules in force from 2 April 2019.
This page summarises what the Financial Conduct Authority (FCA) has published about binary options and about checking whether a firm is authorised: its 2019 statement on the permanent retail prohibition, and its scam guidance and Warning List. It does not assess any firm.
The FCA's Binary Options Rules
In its statement of 29 March 2019, the FCA said: "All firms acting in or from the UK are prohibited from selling, marketing or distributing binary options to retail consumers." The FCA said its rules are permanent and came into force on 2 April 2019. It also said it was applying its rules to so-called securitised binary options that were excluded from ESMA's prohibition.
The statement also gives an estimate: "The FCA estimates the permanent ban on binary options could save retail consumers up to £17m per year." For the wider UK picture, see our guide to binary options in the United Kingdom.
Authorisation and the Firm Checker
On its guidance page "Protect yourself from scams", first published on 8 August 2017 and last updated on 19 January 2026, the FCA says: "Almost all financial services firms in the UK must be authorised or registered by us." The FCA tells people to check that the firm reference number (FRN) and contact details they were given match the details on the FCA Firm Checker, and it says its team can check the details and tell you whether the firm is genuine.
The FCA also warns: "Remember, some firms pretend to be authorised firms, so always use the contact details on the Firm Checker." For the steps, see how to check whether a broker is regulated.
The FCA Warning List
The FCA's Warning List page, first published on 2 April 2016 and last updated on 30 June 2026, states: "Unfortunately, there are still firms that work without our authorisation." The page says you can use the Firm Checker to find out whether a firm is authorised and has permission for the service it is offering you. The FCA adds: "Make sure you only deal with authorised firms."
On how the list works, the FCA says: "We add firms to this list as soon as possible." It also cautions: "Unauthorised firms often change their names, and we may not be aware of it yet." The page warns: "Be cautious of scammers pretending to be from authorised firms."
If you think you have been targeted by a scam, the FCA asks you to report it online. The FCA says: "We look into every report we receive, and it could help protect others from fraudsters." See also how to report a binary options scam.
What the FCA Says About Binary Options Firms
In the same 2019 statement, the FCA said: "As the sale of binary options to retail consumers is now prohibited, any firm offering binary options services to retail consumers is likely to be a scam." The FCA pointed readers to its ScamSmart pages for more information.
Frequently Asked Questions
When did the FCA's permanent binary options rules come into force?
The FCA said its rules are permanent and came into force on 2 April 2019, following its statement of 29 March 2019.
What does the FCA say about firms that work without authorisation?
The FCA's Warning List page states: "Unfortunately, there are still firms that work without our authorisation."
Why does the FCA say a name check may not be enough?
The FCA cautions: "Unauthorised firms often change their names, and we may not be aware of it yet."
Does this page address whether an individual could face liability?
This page summarises what the regulators' published guidance says. It does not address whether an individual could face liability. Seek independent legal advice.
Sources and Official References
- FCA: Statement on permanent ban on binary options to retail consumers (29 March 2019)
- FCA: Protect yourself from scams (first published 8 August 2017; last updated 19 January 2026)
- FCA: Warning List of unauthorised firms (first published 2 April 2016; last updated 30 June 2026)
This page summarises what the regulators' published guidance says. It does not address whether an individual could face liability. Seek independent legal advice.
This page summarises what the regulators' published guidance says. It does not address whether an individual could face liability. Seek independent legal advice.