Robinhood launches 2% cashback worth up to £400 on its Isa: Is the US import worth investing with?

Updated: 09:11 EDT, 2 June 2026

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Robinhood has relaunched its 2 per cent cashback bonus on deposits to its stocks and shares Isa capped at £400.

To earn the top amount you’d need to add all your £20,000 Isa allowance to the investment platform’s Isa before the deadline on 21 July.

There’s no minimum deposit needed to earn the cashback, so even if you have a smaller pot you could still get a decent boost.

Investors may also want to consider a rival tiered cashback offer from IG*, paying between £50 and £500, on deposits from £500 to more than £50,000. We explain more on this below.

Only new deposits are allowed, meaning money you move across from an existing Robinhood general investing account or transfer in from another Isa provider doesn’t qualify.

Robinhood is a US-based trading and investing platform that launched in the UK in 2024.

It’s challenging established providers such as Etoro and Trading 212 with a low foreign exchange fee of 0.1 per cent. However, you can only buy US stocks and shares on the platform.

Greenbacks: The cashback is paid to your Robinhood account in US dollars

How does the Robinhood deal stack up?

You shouldn’t choose an investment platform based on incentives alone – make sure it suits you before signing up. Check that you won’t pay over the odds in fees, it has the level of customer service you need, and that it has a good range of investments. Read more in our full guide to the best investment platforms.

Robinhood’s deal may seem attractive but you should keep in mind that the cash bonus will be paid in USD to your general investment account.

If you decide to take up the offer, you might want to invest the cash rather than withdrawing and getting hit by the FX fee.

Robinhood pays the cashback when your eligible deposit settles – this is positive when compared with other providers that take a few months to pay out.

But you must keep your funds invested for at least a year, otherwise Robinhood will claw back some of the cashback you received – and if you no longer have USD in your account it will take it from your GBP balance.

Consider IG for an alternative deal

Cashback deals on stocks and shares Isas are thinner on the ground since the end of the tax year but IG there are still some good offers.

For an alternative to the Robinhood deal you could consider IG, which is paying tiered cashback worth up to £500 when you deposit and invest. It starts at £50 for deposits between £500 and £5,000 and steps up to £500 for deposits of £50,000 or more. The deadline for taking up this offer is 30 June.

> Find out more at IG*

What is Robinhood like as an investment platform?

Robinhood UK aims to give Britons low-cost access to US stocks and shares but does not offer UK shares, ETFs and other investments. It doesn’t levy account or dealing charges and its 0.1 per cent foreign exchange fee is lower than many other providers.

By comparison Trading 212 charges 0.15 per cent and Etoro charges 0.75 per cent when using a GBP account.

However Robinhood’s low FX fee is no longer unique, with upstart platform Lightyear* cutting its FX fee to 0.1 per cent earlier this year.

Lightyear offers a much wider choice of investments in addition to US stocks and shares, as do other rivals.

The other downsides to Robinhood’s Isa are that it’s not flexible and only cash transfers are supported.

This means withdrawals always reduce your allowance and you’ll need to sell your investments first to transfer Isa funds from another provider.

Robinhood offers interest on uninvested cash only within its general investment account at a rate of 3.35 per cent.

The platform doesn’t pay interest itself. Instead it distributes your cash to its network of US-based partner banks which invest your money and pay you interest.

By comparison Trading 212* offers 3.8 per cent variable on uninvested cash within a stocks and shares Isa.

Lightyear* offers 3.77 per cent variable and IG* offers 3.75 per cent variable.

Check how your platform holds your cash and generates interest, because it has implications for the protection your money receives.

It’s usually a mixture of placing your funds with partner banks and investing your cash in low-risk qualifying money market funds (QMMFs).

Read more in our guide to the Financial Services Compensation Scheme (FSCS).