Best Stocks and Shares ISAs for Beginners UK : Compare Top Options
Stocks and Shares ISAs help UK beginners invest tax-efficiently. With a £20,000 allowance, they support long-term growth. In 2025 many investing platforms offer strong options — there’s no wrong choice, only the best fit for your needs.
IG
Beginner Score: 4.6/5
67% of Retail CFD Accounts Lose Money
Interactive Investor
Beginner Score: 4.5/5
Trading and investing involve risk. Capital at Risk
Quick Answer – What's the Best Stocks and Shares ISA for Beginners?
For beginners, the best Stocks and Shares ISA balances low fees, usability, and fund access. In 2025, IG leads for market access, Interactive Investor suits frequent investors, Hargreaves Lansdown offers strong support, Trading 212 delivers commission-free trades, and eToro provides social investing through its Moneyfarm partnership.
How do These Stocks and Shares ISA Platforms Compare?
| Rank | Platform | Monthly/Annual Fees | Trading Costs | FX Fees | Trustpilot Score | Best For |
|---|---|---|---|---|---|---|
| #1 | IG | £0 platform fee | Commission-free UK/US shares | 0.7% | 4.0/5 | Market access |
| #2 | Interactive Investor | £4.99–£11.99/month | £3.99 UK/US trades | 1.5% | 4.2/5 | Frequent investors |
| #3 | Hargreaves Lansdown | Up to £45/year | £11.95 per trade | ~1% | 4.1/5 | Beginner support |
| #4 | eToro | £0 ISA (via Moneyfarm) | Free to open/$5 withdrawal | ~0.5% | 4.1/5 | Social investing |
| #5 | Interactive Brokers | £0 platform fee | From $1 per trade | ~0.2%–0.7% | 4.2/5 | Low-cost global access |
Here's the Top 5 Best Beginner Stocks and Shares ISA Platforms in the UK:
- IG – Market Access, Advanced Tools, Trusted Provider
- Interactive Investor – Flat Fees, Wide Choice, Long-Term Value
- Hargreaves Lansdown – Strong Support, Educational Tools, Trusted Brand
- eToro – Social Trading, Easy to Use, Beginner-Friendly
- Interactive Brokers – Low Costs, Global Reach, Professional Platform
IG - Best for Education and Platform Tools
Pros & Cons
Wide market access with 17,000+ options
Commission-free UK and US share dealing
FCA-regulated with FSCS protection
0.7% FX fee on international trades
Some may consider interface less intuitive than some others.
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IG Overview
IG is a strong choice for beginners who want to grow into more active trading. It supports ISAs, offers a free demo account, and includes top-tier charting tools. Beginners also benefit from in-depth educational resources via IG Academy.
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 67% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
Interactive Investor – Best for Long-Term ISA Investors
Pros & Cons
Flat monthly fee keeps costs predictable
Wide choice of funds and shares
FCA-regulated, trusted provider
Free regular investing
1.5% FX fee is high
No fractional share access
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Why might beginners choose Interactive Investor?
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How does II’s flat-fee model work for small portfolios?
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How Easy Is It to Use?
Interactive Investor appeals to beginners planning regular investing. Its flat fee works best for medium-to-large portfolios, while free scheduled investments reduce costs. The platform provides a wide choice of funds and strong investor resources, but small-balance beginners may find the monthly fee heavy.
II charges £4.99–£11.99 monthly, regardless of portfolio size. For beginners investing only small sums, this fee may outweigh benefits. As portfolios grow, the fixed cost becomes efficient. Beginners should weigh initial affordability against long-term value before committing.
II’s interface is clean and intuitive, with guided navigation for setting up an account or placing trades. Beginners will appreciate the ISA-focused dashboard and support content, though the design is less modern than eToro or Trading 212.
Trading and investing involve risk. The value of your investments can go up or down, and you may lose all or part of your capital. These products may not be suitable for all investors. Please ensure you fully understand the risks involved.
Hargreaves Lansdown (HL) – Trusted but Higher-Cost Option
Pros & Cons
Highly rated customer support
User-friendly tools and resources
Broad investment choice, including funds and ETFs
Trusted UK brand with FSCS protection
Higher fees than many competitors
FX costs up to 1%
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Is HL worth it for beginners despite higher fees?
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How does HL’s customer support help new investors?
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What are the drawbacks of HL for beginner ISA holders?
Hargreaves Lansdown suits beginners prioritising guidance and customer support. While costs are higher, its educational tools and accessible platform help new investors build confidence. For those valuing service over price, HL can justify its premium, though fee-sensitive beginners may prefer lower-cost options.
HL provides extensive investor education, phone support, and portfolio tools. Beginners benefit from easy-to-understand resources and strong assistance. This support structure helps reduce mistakes and build confidence, making HL one of the most accessible platforms for newcomers despite its higher pricing.
The main drawback is cost. With platform fees up to £45 annually, plus higher trading charges, beginners with smaller portfolios may see returns reduced. FX fees are also higher than rivals, which makes global investing less efficient for cost-sensitive new investors.
Trading and investing involve risk. The value of your investments can go up or down, and you may lose all or part of your capital. These products may not be suitable for all investors. Please ensure you fully understand the risks involved.
eToro – Best Overall for Beginners
Pros & Cons
0% commission stocks
Copy trading with social features
Beginner-friendly layout
Limited UK-listed shares
USD-based account incurs FX fees
- Wider spreads than some competitors
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eToro Overview
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How Beginner Friendly is eToro?
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Is eToro Safe and FCA-Regulated?
eToro is the #1 platform for UK beginners in 2025 due to its 0% commission stock investing, intuitive mobile app, and unique CopyTrader feature. It now has ISA support for managed and DIY and shines in user experience, crypto access, and educational tools built into the platform.
Beginners love eToro for its clean design, fast sign-up, and ability to copy top investors. No complex charts are required, and it’s easy to start with £50. The mobile app mirrors the web version, making portfolio tracking and trading seamless.
Yes, eToro is FCA-regulated in the UK, holds client funds in segregated accounts, and offers two-factor authentication. It’s also licensed in Europe, Australia, and the US, giving it a strong compliance framework trusted by millions of investors worldwide.
CFDs are complex instruments with a high risk of losing money rapidly due to leverage. 61% of retail CFD accounts lose money when trading CFD’s with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Interactive Brokers (IBKR) – Best for Global Market Access
Pros & Cons
Extremely low trading commissions
Access to 150+ global markets
Advanced tools and research
Strong reputation and regulation
Platform complex for beginners
£10 monthly inactivity fee (waived with activity)
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Why is Interactive Brokers attractive to UK beginners?
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What are the limitations of Interactive Brokers’ ISA?
Interactive Brokers appeals to beginners seeking low-cost trades and global reach. It offers a professional-grade platform with competitive fees, making it cost-effective for ambitious investors. However, its steep learning curve may challenge those looking for a simple, entry-level experience.
IBKR offers global market access but is less beginner-friendly. The interface and tools are designed for advanced investors. Inactivity fees may apply, and the platform lacks the simplicity found in rivals like HL or eToro. Beginners must be prepared to learn the system.
62.5% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.
Not Sure Which Platform to Choose?
Answer 5 quick questions and we’ll provide a personalised recommendation for the best options tailored to your specific needs and experience level.
How to Choose the Best Stocks and Shares ISA as a Beginner
What factors should beginners prioritise when picking an ISA?
Beginners should prioritise low fees, simple usability, FSCS protection, and access to diversified investments. Educational tools and responsive support are valuable. Balancing costs with available guidance ensures beginners gain confidence, while a broad choice of funds and shares supports gradual, low-risk portfolio building.
How do ISA fees affect long-term beginner returns?
High fees reduce compounding power. For example, a £25,000 ISA can cost £50–£130 annually in platform fees alone. Over decades, this difference compounds into thousands. Beginners should favour providers with transparent, low-cost structures, particularly if starting with smaller portfolios, to maximise net returns.
Should beginners start with funds or individual shares?
Funds, especially index funds and ETFs, provide instant diversification and lower risk, making them suitable for beginners. Individual shares carry higher volatility and require research. Beginners often start with funds, then gradually explore shares once comfortable with market basics and portfolio management.
How important is platform usability for new investors?
Very important. A clear, intuitive interface helps beginners avoid mistakes, track investments, and build confidence. Complex platforms can overwhelm new investors, leading to poor decisions. Beginners benefit from platforms offering simple layouts, mobile apps, and educational resources to guide them through first steps.
Step-by-Step Guide: How to Get Started with a Stocks and Shares ISA
Step 1 – Understand the annual ISA allowance
Learn that you can invest up to £20,000 each tax year across ISAs. Knowing this limit ensures beginners plan contributions effectively, without breaching HMRC rules.
Step 2 – Compare the best beginner-friendly platforms
Assess fees, usability, Trustpilot scores, and fund access. Choose a provider balancing cost with beginner support.
Step 3 – Decide between funds or individual shares
Funds suit hands-off beginners seeking diversification; shares suit those comfortable with research and higher risk.
Step 4 – Open and fund your ISA account
Apply online with your chosen provider. Deposit funds by bank transfer or direct debit.
Step 5 – Choose your first investments
Select diversified funds or beginner-friendly ETFs. Avoid concentrating in single stocks. Investing the full £20,000 allowance annually could grow to £661,000 in 20 years at 5% returns, showing the power of compounding.
Step 6 – Monitor your ISA and invest regularly
Check performance periodically, reinvest dividends, and contribute consistently. Avoid overreacting to short-term market changes.
Risks and Safety of Stocks and Shares ISAs
Can you lose money in a Stocks and Shares ISA?
Yes. Market values fluctuate, and investments can fall as well as rise. Unlike cash savings, capital is not guaranteed. However, long-term investing in diversified funds usually reduces risk, and tax advantages make ISAs efficient despite short-term volatility.
Are Stocks and Shares ISAs safe for UK beginners?
They are safe when using FCA-regulated providers with FSCS protection up to £85,000. Beginners should avoid unregulated platforms. Market risk remains, but regulatory safeguards and responsible diversification protect investors against fraud and platform failure.
How to reduce risk in a beginner’s ISA portfolio
Diversify across funds, asset classes, and regions. Use low-cost index funds to spread risk. Avoid chasing trends or concentrating in single sectors. Consistent contributions and a long-term horizon help reduce the impact of market downturns on overall ISA growth.
Common Beginner Mistakes with Stocks and Shares ISAs
What mistakes do new ISA investors usually make?
Common mistakes include chasing hot stocks, neglecting diversification, overtrading, and ignoring fees. Beginners sometimes panic-sell during downturns. A disciplined, long-term strategy using diversified funds usually performs better than frequent, emotional trading decisions.
Why is diversification essential for beginners?
Diversification spreads risk, ensuring one poor-performing investment does not wipe out gains. Beginners using funds or ETFs gain exposure across hundreds of companies, balancing performance and reducing volatility. This approach suits long-term growth while protecting against individual market shocks.
How to avoid overtrading inside an ISA?
Set clear goals, use regular contributions, and avoid daily monitoring. Overtrading increases fees and tax-free gains risk reduction. Beginners should treat ISAs as long-term vehicles, focusing on growth over years rather than short-term speculation.
What happens if you exceed the ISA allowance?
Exceeding the £20,000 allowance breaches HMRC rules. Excess funds lose ISA status, and penalties may apply. Providers usually prevent over-contributions, but beginners should track deposits carefully. Sticking within the limit ensures full tax advantages are maintained.
Final Thoughts – Which Beginner Platform Should You Choose?
The best Stocks and Shares ISA for beginners depends on balancing fees, usability, and investment choice. IG, Interactive Investor, HL, eToro, and Interactive Brokers each serve different needs. There is no wrong answer — the best ISA is the one aligned with your goals.
IG – best for beginners wanting UK and global market access.
Interactive Investor – best for frequent investors building larger portfolios.
Hargreaves Lansdown – best for beginners valuing strong support and guidance.
eToro – best for social investors wanting copy trading and ready-made portfolios.
Interactive Brokers – best for ambitious beginners seeking low-cost, global trading tools.
Top 5 Platforms
1
IG
67% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
2
interactive investor
Trading and investing involve risk. Capital at Risk
3
Hargreaves Lansdown
Trading and investing involve risk. The value of your investments can go up or down, and you may lose all or part of your capital. These products may not be suitable for all investors. Please ensure you fully understand the risks involved.
4
eToro
61% of retail CFD accounts lose money when trading CFD’s with this provider.
5
IBKR
62.5% of Retail CFD Accounts Lose Money
Still Not Sure Which Platform?
FAQs
Which investment platform is best for Stocks and Shares ISA's in the UK?
IG ranks highest for market access, Interactive Investor suits frequent investors, HL supports beginners with guidance, eToro appeals to social investors. The right choice depends on priorities: fees, usability, or support.
Are Stocks and Shares ISAs good for short-term investing?
They are designed for long-term investing. Short-term use exposes beginners to volatility, with little time for recovery. For funds needed within five years, cash savings accounts are safer. Stocks and Shares ISAs work best for goals beyond five years.
Do I pay tax on profits inside a Stocks and Shares ISA?
No. Capital gains, dividends, and interest earned within a Stocks and Shares ISA are exempt from tax. This makes them one of the most efficient ways for UK beginners to invest long-term while keeping more of their returns.
Can I transfer my Cash ISA into a Stocks and Shares ISA?
Yes. Transfers are allowed without losing ISA status. Beginners should request a formal transfer through their new provider, not withdraw funds directly, to preserve tax benefits. Many investors move from Cash to Stocks and Shares ISAs for higher growth potential.
References
- Financial Conduct Authority (FCA) – Financial Conduct Authority | FCA
- Financial Services Compensation Scheme (FSCS) – Financial Services Compensation Scheme | FSCS
- GOV.UK – Individual Savings Accounts (ISAs)
FCA, Financial Lives 2022 survey – key findings, July 26, 2023, https://www.fca.org.uk/publications/financial-lives/financial-lives-survey-2022-key-findings
The Guardian, ISA shakeup: How can Rachel Reeves nudge savers into buying stocks and shares?, July 16, 2025, https://www.theguardian.com/money/2025/jul/16/isa-shakeup-how-rachel-reeves-aims-to-nudge-people-into-stocks-and-shares
