The is a brand new 1/10 oz gold bullion coin produced by The Royal Mint. The coin is an exact miniature of the larger 1oz, quarter oz and half ounce variations. Gold purity is 999.9 fineness, maintaining the desire for the Mint’s Krugerrand-beater to be 24 carat. Britannias were produced to 22 carats up until 2012, then switched to the higher purity from 2013 onwards. The coins have a face value of ten pounds, qualifying them as legal tender in the UK. Rather than use them in shops (where the gold content alone is worth ten times its face value), the legal tender status benefits the investor with tax free status.
As expected, the obverse of the coin features the latest portrait of Queen Elizabeth. This is the fifth portrait of the UK’s longest reigning monarch, designed by renowned engraver Jody Clark when her majesty was 88 years old. The portrait, featuring large pearl earrings, adorns the King George IV State Diadem, usually worn for the national opening of parliament. The background introduces the latest dimple effect, offering the coin both a design feature and added protection from counterfeiting.
The reverse depicts the character the coin is named after, Britannia. This version looks to her right, powerfully holding a trident in her right hand and large union-jack adorned shield in the left. The effigy is stood, wearing floaty robes. The design of Britannia is updated every few years and can feature Britannia sat down, close up or on a chariot. The continually updated design not only keeps the coin looking fresh and up-to-date, but enhances the coin’s collectibility. The background to the main image features the popular radial design introduced for the Britannia the previous year. Around the border of the reverse is a description of the coin. The name Britannia, the year of issue, the weight in ounces, and it’s purity in fineness.
The popularity of the Gold Britannia has now encouraged the Royal Mint to produce not only fractional versions such as this tenth ounce variety, but also silver versions, and special editions such as the Oriental border, anniversary issue, and privy mark issues.
Mintage figures are not set in stone and do vary from year to year, with the fractional Britannia launched in both proof and bullion versions. One thing’s for sure, the smaller Brittanias are produced in far lower quantities than the full-sized one ounce versions, making them shorter in supply and boosting their premiums. Proof coin versions were released every year, mainly as part of a set of 4 Royal Mint Britannia coins. Bullion versions have been produced in low quantities (in the thousands) most years since launch.
A lot of customers like to own the full range of Britannia sizes to complete the set. The fact that the 1oz, half oz, quarter oz, and tenth oz are all identical versions of each other enhances their collectibility. The diminutive size of these coins makes them affordable to most, especially those who can’t stretch to a 1 ounce version. As an investment, they appeal due to their Capital Gains Tax free status and high level of liquidity.
If you’re looking to buy a larger quantity of gold as an investment, we’d recommend combining these coins with larger versions to average down cost per gram, while maintaining divisibility.