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Part of the guideSending money to Nigeria: the real cost, explained
The short answer
The cheapest way to send money from the UK to Nigeria is usually a regulated digital transfer provider paying naira into a Nigerian bank account. The World Bank measured the average total cost on the UK to Nigeria corridor at 1.96% in Q3 2025, against a 14.55% global average for banks, and most transfers arrive the same day. Compare the naira amount that arrives, check the firm on the FCA register, and remember that rates change daily.
The UK to Nigeria route is one of the cheapest remittance corridors in the world for Nigeria, because it is large and competitive. That does not mean every option is cheap. The gap between a specialist provider and a high-street bank wire on the same sum can be several times the fee you see. This article covers the UK side only. For the full picture on costs, delivery methods and Nigerian rules, read our guide to what sending money to Nigeria really costs.
What it costs from the UK
Every transfer has two charges: the fee you see, and the exchange-rate margin built into the rate you are offered. The World Bank's Remittance Prices Worldwide survey measures both. For the UK to Nigeria corridor in Q3 2025, sending £120 cost on average:
- Average fee
- £1.47
- Average exchange-rate margin
- 0.73%
- Average total cost
- 1.96% of the amount sent, about £2.35 on £120
That is far below the 14.55% global average cost of sending through banks that the World Bank recorded in Q1 2025. The corridor average hides a wide spread: some firms charge no fee and take a larger margin, others charge a fee and pass on a rate close to the mid-market rate. Only the total tells you which is cheaper.
Worked example: £300 to a family member in Lagos
Using the Central Bank of Nigeria's selling rate of about ₦1,758 per pound on 24 September 2026 as the reference, here is what reaches Nigeria from £300 at the corridor average and at the global bank average. Rates move every day, so treat the naira figures as an illustration, not a quote.
| Route | Total cost | Value that arrives | In naira at ₦1,758/£ |
|---|---|---|---|
| UK to Nigeria average (1.96%) | £5.88 | £294.12 | about ₦517,000 |
| Bank, global average (14.55%) | £43.65 | £256.35 | about ₦451,000 |
| Difference | £37.77 | about ₦66,000 |
On a monthly transfer of £300, a difference of that size comes to roughly ₦790,000 over a year. That is often a term's school fees or several months of a parent's rent.
Your options from the UK
- Digital money transfer providers. App or web based, priced close to the corridor average or below. Most pay naira into a Nigerian bank account within minutes. This is where the World Bank found the lowest costs.
- High-street banks. An international payment from a UK current account. Convenient for large sums you have already discussed with your bank, but usually the most expensive way to send small amounts, and slower.
- Agent-based money transfer operators. You pay in cash or by card at a shop or counter. Useful if the recipient needs cash pickup, which Nigeria limits to the equivalent of $200 per payout.
- Multicurrency accounts. You hold pounds and convert to naira when you choose, then send naira to a Nigerian bank account. These suit people who send often or who are also paid in other currencies.
Whichever you choose, Nigerian rules decide how the money lands. Payouts through licensed transfer operators are made in naira at a rate linked to the official market, and since 1 May 2026 they must pass through naira settlement accounts at authorised dealer banks. Our article on CBN rules on how remittances are paid out explains what that means for your family.
Check the firm is regulated, and know what protection you have
Any non-bank firm offering payment services in the UK must be authorised or registered by the Financial Conduct Authority. Before you send, search the firm's legal name on the FCA's Financial Services Register. The brand name in the app can differ from the registered company, so look for the company name in the website footer or terms.
Protection works differently from a bank account. Money held with a payment or e-money institution is not covered by the Financial Services Compensation Scheme. Instead, authorised payment and e-money institutions must safeguard customer money, usually in a separate account, so you should get most of it back if the firm fails, though it can take time. Small payment institutions do not have to safeguard, so ask what they do.
That gap is why checking details matters more for international transfers. If something goes wrong, contact the provider at once, then report it to Report Fraud, the national service that replaced Action Fraud on 4 December 2025 (0300 123 2040). If a complaint is not resolved, the Financial Ombudsman Service can review it. Our guide to money transfer scams targeting the diaspora covers the common patterns.
Before your first transfer from the UK
- Get the recipient's full name, bank name and 10-digit NUBAN account number, and check the name the provider shows matches.
- Check the recipient's account can take the amount. Nigerian accounts are tiered by verification and linked to a BVN.
- Compare at least three regulated providers on the naira that arrives for your usual amount, not the advertised fee.
- Expect identity checks on your first transfer and questions about the source of funds for larger sums. Have a payslip or bank statement ready.
- Pay from a debit card or bank transfer. A credit card can trigger a cash-advance fee from your card issuer.
- Send a small test amount to a new recipient before the full sum.
- Keep the receipt showing the rate, fee and reference.
Timing matters less than the provider. Sending on a set date each month averages out the rate over time; some services also let you set a target rate and convert only when it is reached. Our explainer on why the pound-to-naira rate you get differs from the headline shows how to read a quote.
Where Pryme fits
Pryme's multicurrency account holds pounds, dollars, euros and naira, with a UK sort code and account number, US account and routing number, a euro IBAN and a Nigerian NUBAN. Pryme Financial Ltd is a financial technology company, not a bank; outside Nigeria, its activities are carried out through regulated partners. Money stays in the currency it arrived in until you choose to convert. Swap shows the rate before you confirm, holds it for about 30 seconds and shows any fee on its own line. As with any provider, compare the rate shown with the mid-market rate as well as the fee. A Pryme account can be opened from the UK, as from any country; which naira accounts you can send to and any charge for sending are shown in the app before you commit.
If Pryme's rate is not the best on the day for your amount, use whichever regulated provider delivers the most naira. The comparison method in our full guide to sending money to Nigeria applies to every provider, including us.
Questions people ask
What is the cheapest way to send money from the UK to Nigeria?
Usually a regulated digital transfer provider paying into a Nigerian bank account. The World Bank's average for the UK to Nigeria corridor was 1.96% in Q3 2025. Compare providers on the naira the recipient receives, because a zero fee can hide a wider exchange-rate margin.
How long does a transfer from the UK to Nigeria take?
Most transfers through digital providers to a Nigerian bank account arrive the same day, often within minutes. Your first transfer may take longer while the provider checks your identity. International payments from a UK bank can take one to three working days.
Is my money protected if a UK transfer company goes bust?
Not by the FSCS. Authorised payment and e-money institutions must safeguard customer money, so you should get most of it back, though it may take time. Check the firm on the FCA register before you use it.
Will my bank refund me if I am scammed into sending money to Nigeria?
Probably not under the UK's APP fraud reimbursement scheme, which covers UK Faster Payments and CHAPS transfers but not payments to accounts abroad. Contact your provider immediately, as a transfer can sometimes be stopped before payout, and report it to Report Fraud.
Can my family receive pounds in Nigeria?
Not through a money transfer operator. Under CBN rules, remittances through these firms are paid in naira. To receive foreign currency, your family would need a domiciliary account at a Nigerian bank and a direct bank transfer into it.
Sources
- World Bank Remittance Prices Worldwide: United Kingdom to Nigeria · accessed Oct 2026
- World Bank: Remittance Prices Worldwide, Issue Q1 2025 · accessed Oct 2026
- Within Nigeria: Exchange rate today, 3 October 2026 (pound and euro official rates) · accessed Oct 2026
- Financial Conduct Authority: Using payment service providers · accessed Oct 2026
- Which?: Are new fraud refund rules working? · accessed Oct 2026
- GOV.UK: Report Fraud, new service from City of London Police · accessed Oct 2026
- AllAfrica: CBN bans foreign currency payments for diaspora remittances from 1 May 2026 · accessed Oct 2026
- Kola King: CBN revised IMTO guidelines (January 2024) · accessed Oct 2026
This article is general information, not financial, legal or tax advice. Products described are provided under the terms on this site and are subject to regulation and eligibility.