Freetrade's pre-tax loss more than tripled in 2025 as acquisition costs and a marketing ramp-up overwhelmed double-digit revenue growth at the UK retail investment app, according to financial statements filed with Companies House.

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The London-based platform reported a loss before tax of £24.4 million for the 12 months to 31 December 2025, compared with a £6.8 million loss in 2024. Revenue rose 10% to £31 million, while assets under administration climbed 34% to £3.3 billion.

The figures cover Freetrade's first full year inside IG Group, after the FTSE 250-listed broker completed its £160 million purchase of the commission-free trading app in April 2025 through subsidiary Market Data Limited.

Acquisition Costs Push Losses Past £24 Million

Costs tied to the IG takeover accounted for most of the wider loss. Freetrade booked £16 million in acquisition-related expenses, comprising a £10.2 million bridge Bridge The bridge or liquidity bridge is an essential component for brokers that are enabling their clients to trade at interbank rates directly via a Prime Broker or a Prime-of-Prime (PoP). While market makers do not require a bridge in order to service their clients, brokers which are sending through orders to a liquidity provider or an electronic execution venue need a bridge to connect their trading platform to the interbank market.Bridges are used extensively in forex trading, specifically for Met The bridge or liquidity bridge is an essential component for brokers that are enabling their clients to trade at interbank rates directly via a Prime Broker or a Prime-of-Prime (PoP). While market makers do not require a bridge in order to service their clients, brokers which are sending through orders to a liquidity provider or an electronic execution venue need a bridge to connect their trading platform to the interbank market.Bridges are used extensively in forex trading, specifically for Met Read this Term loan redemption premium, £5.6 million in transaction costs, and a £0.2 million write-off relating to an Employee Benefit Trust loan.

Marketing costs directly attributable to revenue jumped to £3.1 million from £652,000 a year earlier. Wages rose 22% to £10.6 million, while share-based payments more than doubled to £4.2 million.

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The company said the higher spending reflected "a deliberate investment in strengthening the Company's market position and long-term prospects."

Operating losses widened to £25.1 million from £7.6 million.

Customer Funding Hits Record £457 Million

Net new funding reached a record £457 million during the year, up from £405 million in 2024, while positive market movements added £387 million to client portfolios. Trading volumes climbed to £7.7 billion from £4.9 billion the previous year.

The platform introduced UK gilts, crypto exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term-traded notes and consolidated tax certificates during the year, rolled out pre-market trading on US equities, and rebranded its mobile app. Mutual funds were added in June 2025.

Revenue Mix Tilts Toward FX and Interest Income

Foreign exchange conversion fees were the biggest growth driver, rising 34% to £18.5 million as customers continued buying US-listed shares. Interest earned on client money balances climbed to £8.1 million from £7.5 million.

Subscription fees slipped to £6.8 million from £7.1 million, despite Freetrade's continued push on higher-tier plans that previously helped the company reach EBITDA breakeven in early 2024. Securities lending revenue jumped to £479,000 from just £45,000.

Competition Heats Up in UK Retail Investing

Freetrade's numbers land in an increasingly crowded UK retail investment market. Robinhood UK launched its first Stocks and Shares ISA in February 2026 with zero account fees and a 2% cash bonus, while Webull UK followed in April with a flexible ISA and zero-commission pricing on US and Hong Kong shares.

XTB, eToro and Saxo Bank have all added or expanded tax-efficient products over the past year, and parent IG itself launched zero-commission mutual funds in October 2025 and free SIPPs in January 2026.

The wave of product launches has drawn brokers into a public debate over whether tax incentives should favor cash savings or equity investment.

Freetrade said it plans to launch a Junior ISA in April 2026, alongside real-time news integration and price alert features.

Leadership Transition Looms This Summer

Co-founder Viktor Nebehaj, who signed off the latest accounts as director on 27 April 2026, announced earlier this year that he will step down as chief executive after nearly a decade at the company.

Clifford Abrahams, IG's group chief financial officer, joined the Freetrade board in July 2025, with Michael Healy appointed in February 2026.

Headcount rose to 108 at year-end from 100 in 2024. Freetrade said it would focus on accelerating asset growth, expanding the product range, and lifting efficiency through "increased automation across key processes" in 2026.

Cash and cash equivalents fell to £16.8 million at the balance sheet date from £19.1 million a year earlier, while capital headroom above the minimum regulatory requirement held roughly steady at £9.1 million.

Freetrade is now a wholly owned subsidiary of IG Group Holdings plc, and received a further £6.5 million capital contribution from its parent in February 2026.