Ultimate Guide to Britannia Coins: Everything You Need to Know

The origins of Britannia coins trace back to ancient Rome, where Britannia was first depicted on coins during the Roman Emperor Hadrian in AD119. Over the centuries, Britannia’s representation evolved, becoming a symbol of British identity and strength. She has appeared on many coins including every penny issued from 1797 up until decimalisation and all 50p coins issued before 2008. Over the years the image of Britannia has changed with more of an emphasis being placed on her maritime links (She is often referred to as the Queen of the Seas) and images of her brandishing a spear have been replaced by those portraying her with a trident.

In 1987, The Royal Mint introduced the modern Britannia coin as a 1oz gold bullion coin, featuring contemporary designs of Britannia on the reverse and Queen Elizabeth II on the obverse. This major new precious metal launch came as a belated to response to the immense success of the 1oz South African Krugerrand which had dominated the market for a full two decades prior.  After the 80s saw significant growth in the global bullion market, the Royal Mint introduced Britannia coins to their bullion portfolio.

Although first launched in 1987 only as a gold coin, the Britannia has since spread its wings to become a popular silver bullion coin and is also minted in platinum in limited numbers. While the 1oz coin is the flagship denomination, launched to compete directly with coins such as the Canadian Maple Leaf and South African Krugerrand, it was also available from the outset in smaller fractional gold versions.

Gold Britannias

Gold Britannia coins offer a range of denominations suitable for different investment and collecting goals. These include 1 oz, 1/2 oz, 1/4 oz, and 1/10 oz options. Launched in 1987, they provide investors and collectors with a diverse selection to fit their needs and budget. Due to playing catch up with other major global mints, the gold Britannia was available in 4 sizes from the start.

Silver Britannias

A full 10 years after the initial gold version launched, the silver Britannia coin was introduced in 1997. The silver retail investment market has lagged that of gold, which explains Royal Mint’s delayed entrance to the market. It also rationalizes why the Britannia silver bullion coin has only been available as a 1oz coin for a majority of its existence.

Only recently, in December 2023, the Royal Mint launched 1/10 oz and 1/4 oz versions to cater to a niche market seeking smaller value silver tokens. This expansion of options allows for greater flexibility in silver investments and collecting. In particular, the small coins appeal to those concerned about the possible demise of the fiat monetary system and seek modest valued silver coins in case of a return to a bartering system.

Platinum Britannias

Platinum Britannia coins, introduced in 2018, come in just the standard 1 oz coin and the far smaller 1/10 oz. Despite being less common than gold and silver denominations, platinum Britannias offer a unique opportunity for investors and collectors seeking to further diversify their portfolios with an alternative precious metal.

In addition to the three precious metals and family of sizes the Britannia is minted in, the type of coin finish also varies. In line with other major mints, the Royal Mint produces Britannia coins as proof coins, brilliant uncirculated (BU),  and bullion versions to suit various preferences and purposes.

• Bullion coins, with their brilliant uncirculated finish, were first introduced in 1987 and remain popular for investment purposes. They are the cheapest to produce and therefore can also be bought at the lowest price, ideal for the investment community. Bullion Britannias make up a vast majority of the production run as investors tend to buy far higher quantities than of coins than collectors.
• Proof coins, featuring frosted designs on mirrored fields, offer a stunning level of detail and visual appeal. In every year, The Royal Mint produces proof versions of the Britannia, usually available only in sets of all four sizes and in pairs of the two smallest sizes. Proof Britannias cost a significant premium to their standard bullion cousins, reflecting the additional production cost, limited issue, and expensive presentation boxes. Collectors commonly focus on proof coins for their relative rarity. Some size Britannias and versions are only available as proof finishes.
• BU Britannias bridge the gap between proof and bullion, and as such are minted in tiny quantities, reflecting their limited appeal to either investors or collectors.
• Some Britannia coins are also graded by specialist grading companies such as NGC and PCGS. These can be either bullion or proof coins which are assessed for their condition and authenticity, allocated a grade ranking number, and finally encapsulated in a protective plastic laminate case. This process is retrospective as coins aren’t issued in graded format. Getting your own Britannia graded is also possible, but buying already-graded Britannias is not recommended to investors as premiums can be prohibitive.

The family of Britannia coins boasts a wide range of sizes, weights, face values, and purities. Originally launched in 1987 to compete directly with the gold Krugerrand, the 1oz Britannia consisted of 22-karat gold on launch, mirroring the approach taken by the established Krugerrand. It contained one troy ounce of pure gold, but then additional copper alloy (1987-1989) and then silver alloy (1990-2012) to improve the coin’s integrity.

Similarly, the silver Britannia launched a decade later with 22-karat silver, but both gold and silver versions switched to using 24-karat precious metals from 2013 onwards. This decision aligned with the mint’s desire to appeal to the 24-karat bias of the Asian demographic, while making a statement to the global market of technical excellence.

Britannia coins are assigned a face value by The Royal Mint, which represents the legal tender value of each Britannia coin. However, it’s essential to note that the face value is not assigned to represent the coin’s intrinsic or market value, which will be far higher. However, simply featuring a face value of any amount provides a great benefit to UK Britannia coin investors. Any British coin featuring a face value doesn’t incur any Capital Gains Tax (CGT) if sold at a profit. This is hugely appealing for investors seeking a tax-efficient precious metal purchase.

The various denomination of Britannia coins corresponds to their weight and metal content. For example, a 1 oz gold Britannia featured the highest face value (£100) of any of Royal Mint’s bullion coins, while the far smaller 1/10 oz gold Britannia possesses a face value of just £10. Platinum Britannias share the same face value to their gold counterparts, while silver Britannias have far lower values, reflecting the huge intrinsic worth difference.

Profit is only realised upon disposal of your asset, so the ease and speed with which you can sell Britannias is crucial when investing. Gold and silver Britannias are highly liquid coins, enabling a sale within the day. Their widespread recognition means that prices can be easily compared and sale can be quick to capitalise on gold price spikes.

Their superb liquidity is down to a number of factors. As bullion coins, they appeal to the widest buyer market, enabling a quick and competitive sale. Selling rare coins is far more niche and can take longer.

The reputation of the Royal Mint is unparalleled, so potential buyers are comforted in the knowledge that Britannias are well-known and expertly crafted. In addition to their strong UK demand, Royal Mint coins are particularly popular in the US and Asian markets.

With Britannias being launched more recently than many competing bullion coins, there are actually far fewer coins available in the second-hand market. Britannia holders predominantly buy and hold for the long term, restricting secondary supply, but boosting your price when you choose to sell.

Platinum Britannias and smaller Britannia coins could be deemed as slightly less liquid, more due to the platinum and fractional markets being more niche, rather than anything Britannia-specific.

It could also be argued that Britannia coins are slightly less renowned in certain regions than others. European markets tend to obsess over the Krugerrand, while buyers in the US may prefer American Eagles.  However, the global markets as a whole, especially in the UK, completely embrace Britannia coins, so selling never feels restrictive.

How can I determine the value of my Britannia coins?

The value of Britannia coins depends on factors such as metal content, rarity, condition, and collector demand. Standard 1oz Britannia coins can generally be sold at a 2-4% discount to the spot price. Rarer Britannias and graded coins may fetch higher.

Are Britannias pure gold?

Britannia gold coins have been minted with a purity of 99.99% since 2013, making them among the purest gold bullion coins globally. This upgrade from the previous 916.7 fineness enhances their appeal to collectors and investors seeking high-quality and internationally recognized gold coins.

Are Gold Britannia coins a good investment?

Gold Britannia coins offer a stable investment option due to their intrinsic value and historical significance. They are VAT and CGT free, making them attractive for investors. With gold’s reputation as a safe haven asset, Britannia coins provide a tangible hedge against economic uncertainty and inflation, making them a valuable addition to any investment portfolio.

Why are Britannia coins cheaper?

Britannia coins may appear cheaper due to factors such as lower premiums and production costs compared to other bullion coins. Additionally, fluctuations in precious metal prices and market demand can influence pricing. Despite their affordability, Britannia coins maintain their value and appeal to collectors and investors seeking high-quality bullion options.