In the UK, all Forex brokers are regulated by the Financial Services Authority (FSA). The FSA is an independent body that regulates all financial service institutions and correspondingly protects all UK investors.
In order to obtain a licence from the FSA, Forex brokers and the Forex trading platforms they operate are required to comply with the FSAs rules and regulations:
The most important rule for you as a client is to make sure you choose a Forex trading platform backed by a broker who is regulated by the Financial Services Authority to protect your funds. Under FSA rules, the money that you invest belongs to you as the client, rather than to the institution. That means that if either your broker or the financial institution providing the funds fail, your investment is protected and they are not allowed to draw on your funds to pay off their creditors. The FSA lists their members on their website.