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A gold bar is a rectangular piece of gold produced by an accredited refinery, available in sizes from 1 gram to 1 kilogram (and beyond for institutional buyers). Unlike Gold Sovereigns and Britannias, gold bars are not UK legal tender - any gain on sale is subject to capital gains tax.
This guide covers all standard bar sizes, how premium over spot varies by size, which refineries are most recognised, and when bars make sense compared to CGT-free coins.
At a glance: premium curve by bar size
The smaller the bar, the higher the premium as a percentage of its gold content. The premium curve is steep at the small end.
| Bar size | Fine gold (oz) | Approx. price (Mar 2026)* | Premium over spot (approx.) |
|---|---|---|---|
| 1g | 0.0321 | ~£145 | 25–35% |
| 2.5g | 0.0804 | ~£335 | 15–20% |
| 5g | 0.1607 | ~£660 | 10–14% |
| 10g | 0.3215 | ~£1,280 | 7–10% |
| 20g | 0.6430 | ~£2,530 | 5–8% |
| 1oz (31.1g) | 1.0000 | ~£3,870 | 2–4% |
| 50g | 1.6075 | ~£6,200 | 2–4% |
| 100g | 3.2150 | ~£12,300 | 1–3% |
| 250g | 8.0376 | ~£30,600 | 1–2% |
| 500g | 16.0752 | ~£61,000 | 0.5–1.5% |
| 1kg | 32.1507 | ~£122,000 | 0.5–1% |
Approximate at £3,800/oz GBP spot. Check live gold prices before purchasing.
The major refineries
Not all gold bars are equal in the eyes of dealers and international markets. LBMA (London Bullion Market Association) Good Delivery accreditation is the benchmark for institutional bars, but smaller bars from accredited refineries are equally accepted in retail markets.
| Refinery | Country | Notes |
|---|---|---|
| PAMP Suisse | Switzerland | Premium brand. Widely recognised. Lady Fortuna design iconic. |
| Argor-Heraeus | Switzerland | Institutional and retail. High quality. Slightly lower premium than PAMP. |
| Umicore | Belgium | Large industrial refinery. Good acceptance in European markets. |
| Royal Mint | UK | Produces its own branded bars. High domestic acceptance. |
| Baird & Co | UK | London-based refinery. LBMA-accredited. Good for UK buyers. |
| Heraeus | Germany | Major industrial refinery. Excellent global acceptance. |
| Perth Mint | Australia | Well-known globally. Popular in Asia-Pacific markets. |
For UK buyers, PAMP, Heraeus, Argor, Royal Mint, and Baird bars are all traded without hesitation by major UK dealers. Bars from less-known refineries may attract a discount on resale.
1oz gold bar - the most practical size
The 1oz bar is the sweet spot for most bar buyers - at 2–4% over spot, the premium is tight, the size is a globally recognised standard, and every UK dealer stocks and buys it back without question.
For comparison, a CGT-free Gold Britannia (also 1oz) runs 3–5% over spot. The bar is typically 1–2 percentage points cheaper - on a £4,000 purchase, a saving of £40–£80. Worth having if you’re comfortable with the CGT exposure.
The question is whether that saving is worth the CGT exposure. At any meaningful gain, it typically is not, for higher-rate taxpayers.
When bars beat coins
Very large positions
When investing £50,000+ in gold, the premium difference becomes financially significant. At a 2% premium difference on a 1kg bar vs coins, the saving on entry is approximately £2,400. That could offset a meaningful CGT bill if gains are managed within the annual exempt amount over multiple tax years.
Bars inside tax wrappers (ISA/SIPP)
If gold is held through a gold ETC inside an ISA or SIPP, CGT does not apply to any gain. For these accounts, the bar (or the ETC tracking bar prices) is the better choice - you get the lower premium and the tax wrapper handles the CGT. Physical bars cannot go inside a SIPP or ISA - only ETFs/ETCs.
Non-UK buyers
For buyers based outside the UK, or UK residents planning to move overseas, the CGT advantage of Sovereigns and Britannias is less relevant (CGT rules for non-residents are different). A 1oz bar from PAMP or Heraeus will trade internationally without the UK-centric context.
Bars vs coins: decision table
| Situation | Better choice |
|---|---|
| UK investor, expecting gains above CGT allowance | Coins (CGT-free) |
| UK investor, regularly within CGT annual allowance | Either - coins still simpler |
| Very large position (£50k+) | Consider mix: coins for CGT, bars for lower premium on balance |
| Holding inside an ISA via ETC | ETC tracking spot (not physical bars) |
| Non-UK buyer | Bars - LBMA-quality bars are more universally recognised |
| Gifting | Coins - better presentation and simpler |
| Storage with dealer vault | Either - both hold well |
Assay cards and packaging
Most retail gold bars come in assay cards (credit-card-sized packaging with the bar sealed inside). The assay card typically includes:
- Bar serial number
- Refinery name and hallmark
- Weight and fineness
- Anti-tamper features
Bars removed from assay cards lose the packaging guarantee of authenticity. A bar without an assay card will still sell at melt value but may face closer scrutiny from some dealers. Keep bars in their original packaging where possible.
Tax and regulation
CGT: Gold bars are not UK legal tender. Any gain on sale is a taxable capital gain. Annual exempt amount of £3,000 applies (2026/27). Gains above this are taxed at 18% (basic rate) or 24% (higher rate).
VAT: Investment gold bars meeting 999.5 minimum fineness are VAT-exempt at purchase. All major retail bars qualify.
Reporting: You must report gains to HMRC via Self Assessment if your total gains in a tax year exceed the annual exempt amount, or if total disposal proceeds exceed four times the exempt amount.
This guide contains factual information only and does not constitute financial or tax advice.
How people usually decide
Most UK retail buyers who understand the tax position choose coins (Sovereigns or Britannias) for their primary gold holdings and use bars only when specific circumstances apply - very large positions, buying for an overseas market, or buying within a tax-sheltered framework.
Bars remain popular with first-time buyers who are not yet aware of the CGT difference. Once the tax position is understood, coin-first becomes the default for most.
Frequently asked questions
Are gold bars a good investment? That depends on your view of gold generally. If gold rises, bars capture that gain. The CGT exposure on any profit is the main consideration for UK buyers - coins capture the same gold price movement with no tax on the gain.
Which refinery bar is best? PAMP and Heraeus are the two most universally accepted brands. For UK buyers, Royal Mint and Baird bars are also excellent choices with strong domestic acceptance. There is no meaningful difference in gold content between refineries for standard investment bars.
Can I store gold bars at home? Yes, but home insurance typically limits precious metals coverage to £1,000–£2,500. Bars above this value need specialist insurance or professional vault storage. See our home storage guide.
Are 1g gold bars worth buying? Generally no, for investment purposes. The 25–35% premium over spot means the gold price needs to rise significantly before you break even. Small bars suit gifting more than accumulation.