Quick Recommendations
The Royal Mint - guaranteed authenticity, easy process
Safest OptionBullionVault - lowest premiums, professional storage
Best ValueBullionByPost - competitive prices, free delivery
Most PopularUnderstanding Gold Premiums
When you buy gold, you pay more than the "spot price" (the raw commodity price). This markup is called the premium and covers minting, dealer margins, and overhead costs.
| Product | Premium Range | Notes |
|---|---|---|
| 1kg Gold Bar | 1-2% | Lowest premium, but CGT applies |
| 100g Gold Bar | 2-4% | Good balance of premium and flexibility |
| 1oz Gold Bar | 3-5% | Popular size, CGT applies |
| Gold Britannia (1oz) | 3-6% | CGT-FREE |
| Gold Sovereign | 4-8% | CGT-FREE, most popular |
| Small coins (1/10oz) | 8-15% | Higher premiums for smaller sizes |
Why CGT-Free Matters
Gold Sovereigns and Britannias are UK legal tender, making them CGT-exempt. While they have higher premiums than bars, a 20% CGT saving on a large gain often outweighs the extra 2-3% premium. For example: a £10,000 gain on bars could cost £2,000 in CGT (20%), while Sovereigns would owe nothing.
Where to Buy Gold: Detailed Comparison
Government Mint
1 coin (~£180 for Sovereign)
royalmint.com
Pros
- ✓ Guaranteed authenticity - it's the official mint
- ✓ CGT-free products (Sovereigns, Britannias)
- ✓ Excellent customer service and packaging
- ✓ Vault storage option (DigiGold)
- ✓ SIPP/pension eligible products
Cons
- ✗ Higher premiums than some online dealers
- ✗ Limited to Royal Mint products
- ✗ No secondhand/discounted options
Online Platform
~£100 (fractional ownership)
bullionvault.com
Pros
- ✓ Lowest premiums in the market
- ✓ Professional vault storage included
- ✓ Buy/sell 24/7 at live prices
- ✓ Allocated, insured gold in your name
- ✓ LBMA Good Delivery bars
Cons
- ✗ No physical delivery option
- ✗ Ongoing storage fees
- ✗ Not CGT-free (not UK coins)
Online Dealer
1 coin or small bar (~£50)
bullionbypost.co.uk
Pros
- ✓ Free next-day insured delivery
- ✓ Wide product range (coins, bars, all sizes)
- ✓ Guaranteed buyback
- ✓ No minimum order
- ✓ Well-established with good reviews
Cons
- ✗ Premiums higher than BullionVault
- ✗ Need secure home storage
- ✗ Website can be slow during high demand
Family Dealer
1 coin
chards.co.uk
Pros
- ✓ Family business since 1964
- ✓ Expert numismatic knowledge
- ✓ Good for rare and collectible coins
- ✓ Competitive pricing
- ✓ BNTA member
Cons
- ✗ Website less modern
- ✗ Smaller selection than larger dealers
- ✗ Phone ordering sometimes required
Online Dealer
1 coin
gold.co.uk
Pros
- ✓ Competitive pricing
- ✓ Price comparison tools
- ✓ Live price charts
- ✓ Good educational content
Cons
- ✗ Less established than some competitors
- ✗ Fewer product options
Physical Retail
Varies
Pros
- ✓ Immediate purchase and collection
- ✓ Can inspect before buying
- ✓ Personal service and advice
- ✓ Good for gifts (presentation boxes)
Cons
- ✗ Much higher premiums
- ✗ Limited selection
- ✗ May not specialise in investment gold
- ✗ Prices not transparent
Specialist District
Varies by dealer
Pros
- ✓ Multiple dealers in one location
- ✓ Prices often negotiable
- ✓ Immediate cash transactions possible
- ✓ Specialist expertise
Cons
- ✗ Quality varies by dealer
- ✗ Need to know market prices
- ✗ Less consumer protection than online
- ✗ London location only
Can I Buy Gold from a Bank in the UK?
Short answer: Generally no. Unlike some countries (Germany, Switzerland), UK high street banks don't typically sell physical gold to retail customers.
Why Banks Don't Sell Gold
- • Low profit margins compared to other financial products
- • Logistics and security of storing/handling bullion
- • Regulatory complexity around physical commodity sales
- • Focus on digital banking and financial services
Exceptions
- • Private banks (Coutts, HSBC Private Banking) may offer gold services to wealthy clients
- • Gold ETFs available through bank investment platforms
- • Some banks offer gold-linked savings accounts (rare in UK)
For most UK investors, specialist bullion dealers or The Royal Mint offer better pricing and service than any bank-based option.
Expert Tips for Buying Gold
Compare Total Costs
Don't just look at the gold price - factor in premiums, delivery, insurance, and any minimum order fees. A slightly higher premium with free delivery may be cheaper overall.
Check Buyback Policies
Before buying, understand how you'll sell. Good dealers offer guaranteed buyback at transparent spreads. Ask what percentage of spot they'll pay when you sell back.
Verify Dealer Credentials
Look for LBMA membership, BNTA membership, Companies House registration, and independent reviews. Avoid unverified sellers on social media or auction sites.
Start with Recognisable Products
Gold Sovereigns and Britannias are easily verified and highly liquid. Avoid obscure coins or bars from unknown refiners for your first purchases.
Consider Storage Before Buying
Physical gold needs secure storage. Factor in safe costs, insurance, or vault storage fees. BullionVault includes storage; physical delivery does not.
Time Your Purchases
Gold prices fluctuate throughout the day. Many dealers update prices every few minutes. Consider pound-cost averaging with regular smaller purchases rather than one large buy.
Red Flags: How to Avoid Gold Scams
Gold scams are unfortunately common. Watch out for these warning signs:
Prices significantly below spot
If it seems too good to be true, it is. No legitimate dealer sells below the market price.
Pressure to buy immediately
Legitimate dealers don't use high-pressure sales tactics. Take time to research and compare.
Cash-only transactions
Reputable dealers accept card and bank transfer. Cash-only may indicate tax evasion or fraud.
No physical address or contact details
Always verify the dealer has a real business address and customer service contact.
Unverified social media sellers
Be extremely cautious buying gold through Facebook Marketplace, Instagram, or similar platforms.
No return policy or guarantee
Good dealers offer returns within a reasonable period and guarantee authenticity.
Requests for unusual payment methods
Be wary of requests for cryptocurrency, gift cards, or wire transfers to personal accounts.
Verifying Your Gold is Authentic
When buying gold, especially from less established sources, authentication is crucial.
- ✓Assay certificate from recognised refiner
- ✓Original mint packaging (where applicable)
- ✓Invoice with dealer details and product specs
- ✓Buyback guarantee at transparent spreads
- ✓Products from LBMA-approved refiners
- →Check dimensions match official specifications
- →Verify weight with accurate scales
- →Perform the magnet test (gold is not magnetic)
- →For coins, compare to known genuine examples
- →Consider professional XRF testing for valuable items
Frequently Asked Questions
What is the best place to buy gold in the UK?
The Royal Mint is the safest option with guaranteed authenticity. For competitive pricing, online dealers like BullionVault, BullionByPost, and Chards offer lower premiums. The best choice depends on your priorities: security, price, convenience, or product range.
How much premium should I pay when buying gold?
Premiums vary by product: Gold bars typically have 2-5% premiums over spot price, Gold Sovereigns 4-8%, Gold Britannias 3-6%. Larger purchases command lower premiums. Be wary of premiums over 10% unless buying numismatic or rare coins.
Is it safe to buy gold online in the UK?
Yes, buying gold online from reputable dealers is safe. Look for dealers who are members of the LBMA or BNTA, offer buyback guarantees, have secure delivery options, and positive verified reviews. Avoid unknown sellers on auction sites or social media.
Should I buy gold coins or bars?
Gold bars have lower premiums per gram but UK gold coins (Sovereigns, Britannias) are CGT-free, which can outweigh the premium difference for UK taxpayers. Coins are also easier to sell in small quantities and more recognisable. Most UK investors prefer coins for tax efficiency.
What should I check when buying gold?
Always verify: dealer credentials (LBMA, BNTA membership), product authenticity (assay certificates, hallmarks), total cost including delivery and insurance, buyback policy and spread, secure delivery options, and customer reviews from independent sources.
Ready to Buy Gold?
Check today's prices and find verified dealers in your area
Related Guides
Expert analysis of gold's investment case for 2026 with price scenarios.
Read Guide →7 methods to verify your gold is authentic before or after purchase.
Read Guide →Understand 9ct vs 18ct vs 24ct and what to look for when buying.
Read Guide →Sources and References
Premium data based on publicly available pricing from major UK dealers (February 2026).
LBMA Good Delivery List:lbma.org.uk
BNTA (British Numismatic Trade Association):bnta.net
Last updated: February 2026
Founder & Market Researcher
Taro has been actively investing in precious metals and financial markets for over 15 years. Frustrated by the lack of transparent, accurate gold pricing information in the UK, he built London Gold Exchange as a data-driven resource for fellow investors. The site combines real-time market data, verified dealer information from 242+ UK businesses, and insights drawn from years of hands-on experience in the gold market.
- ✓15+ years investing in precious metals & equities
- ✓Built verified database of 242+ UK gold dealers
- ✓Daily market data analysis and price tracking
Disclaimer: This guide is for informational purposes only. We do not receive compensation from any dealers mentioned. Premiums and policies change frequently - always verify current pricing directly with dealers. This is not financial advice. Do your own research before making any purchase decisions.