The number of active UK leverage traders has declined slightly, but overall engagement is rising. According to Investment Trends’ 2025 UK Leverage Trading Report, the number of traders dropped to 167,000, down from 173,000 a year earlier. However, dormancy rates fell to their lowest level in five years.

“We’re seeing a pivot toward a smaller but more engaged segment of traders who thrive in volatile conditions,” said Lorenzo Vignati, Associate Research Director at Investment Trends.

Trader Engagement Increases Amid Market Volatility

The data suggest that although fewer people are trading, those who remain are more committed. Higher market volatility appears to be driving this shift. Traders are more focused, with many showing increased resilience and selectiveness in their approach.

“Traders are no longer judging value purely on cost,” said Vignati. “They’re rewarding platforms that innovate, those that empower sharper decisions through better tools, seamless experiences and features tailored to how they actually trade.”

The report also notes that trader satisfaction has reached a seven-year high. This follows a period where trading platforms introduced new features, including enhanced charting tools, extended trading hours, and tailored client support. These changes have helped some providers strengthen their position in a competitive market.

Core Trader Group Remains Stable

The table shows a clear shift in the UK leverage trading landscape from 2020 to 2025. Total trader numbers peaked at 275,000 in 2021 before declining to 167,000 in 2025.

While the number of new and returning traders has steadily fallen, the core group of previously active traders who continued trading has remained stable at 124,000 over the past two years. Dormancy among previously active traders has also decreased, reaching a five-year low of 49,000 in 2025. This suggests a leaner but more consistent trader base, shaped by changing market conditions and reduced churn.

AI Adoption Rises Among UK Traders

Platforms that focus on usability, decision-making support, and flexibility are gaining more trader relationships. Price, once a key deciding factor, is no longer the sole measure of value for many traders.

The report highlights a growing role for artificial intelligence. One in four UK leverage traders now use AI tools for market analysis and education. These traders show higher trading frequency and confidence, suggesting that AI is influencing behaviour in uncertain markets.

This article was written by Tareq Sikder at www.financemagnates.com.Retail FXRead More

You might also be interested in reading Securities Lawsuit Alert: Compass Group Diversified Holdings, LLC (CODI) Investors – Contact Levi & Korsinsky Before July 8, 2025.