Is investment gold VAT-free in the UK?

Yes. HMRC's VAT Notice 701/21 defines investment gold as gold of a purity not less than 995 thousandths in the form of a bar or wafer of a weight accepted by the bullion markets, and its supply is exempt.

Is silver VAT-free in the UK?

No. HMRC's investment gold exemption covers gold only. There is no equivalent exemption for silver, and supplies that do not meet the investment gold definition are taxed at the standard rate.

Which gold coins count as investment gold in the UK?

A coin must be minted after 1800, be of a purity of not less than 900 thousandths, have been legal tender in its country of origin, and normally sell at a price not exceeding 180% of the open market value of the gold it contains.

Why do UK silver buyers look at storing metal abroad?

Because the UK exempts investment gold but not silver. Singapore exempts qualifying silver at 99.9% outright, and a Swiss bonded warehouse suspends the liability while the metal stays inside, so the comparison matters far more for silver than for gold.

The UK exempts investment gold. It has no equivalent for silver.

HMRC's exemption is written for gold and only gold. That single asymmetry is the real reason a British silver buyer ends up reading about foreign vaults — and it is structural, not a loophole.

Last checked 23 September 2026. Rules change — every figure below links to its primary source so you can confirm it yourself. How this site sources figures.

UK investment gold: Exempt — purity not less than 995 thousandths
Accepted form: Bar or wafer of a weight accepted by the bullion markets
Gold coins: Minted after 1800, 900 thousandths, legal tender
Coin price test: Normally sold at no more than 180% of gold content
UK silver: No equivalent exemption
Authority: HMRC VAT Notice 701/21

What HMRC exempts

VAT Notice 701/21 defines investment gold as “gold of a purity not less than 995 thousandths that is in the form of a bar, or a wafer, of a weight accepted by the bullion markets”.

Coins are treated separately and more narrowly. A qualifying coin must be minted after 1800, be of a purity of not less than 900 thousandths, have been legal tender in its country of origin, and be “normally sold at a price that does not exceed 180 per cent of the open market value of the gold contained in the coin”.

That last test catches people out. It is the rule that separates a bullion coin from a collectable: once a coin habitually sells at a large premium over its metal — for rarity, condition or a mintage story — it stops being investment gold, whatever it is made of.

The asymmetry

The notice is about gold. There is no counterpart for silver, platinum or palladium, and supplies that do not meet the investment gold definition are taxed at the standard rate.

So a British buyer faces a split that buyers in some other markets do not. Gold is exempt. Silver is not. On a metal bought in quantity, because it is cheap per ounce, that is a large and immediate difference — and it is why so much writing aimed at UK silver buyers is really writing about storing metal somewhere else.

How that compares

Singapore exempts both. Its Investment Precious Metals rules cover gold at 99.5% and silver at 99.9%, on the same outright basis — the exemption attaches to the metal, not to where it sits.
A Swiss bonded warehouse defers rather than exempts. Swiss customs suspends the assessment of import duties and import tax while goods remain in an open customs warehouse, and the liability waits at the exit. For silver that distinction is the whole decision.
Purity lines differ everywhere. The UK uses 995 thousandths for gold bars; Australia and Singapore use 99.5% — the same number expressed differently — while Indonesia’s exemption is described at 99.99%.

What this page does not cover

VAT is one tax. Capital gains treatment is a separate question with its own rules — certain UK legal tender coins are treated differently again — and this page does not address it. Nor does it cover importing metal into the UK, where the relevant rules are customs rules rather than this notice. Check your own position with HMRC before acting, and note that storing metal abroad does not by itself change what you owe where you are tax resident.

This page describes rules, not a recommendation — see our position on advice.