No, the gold price for 22ct gold bars and jewellery is not the same—though both are based on the same market gold rate, additional costs and purpose of use create key differences in pricing.
Here’s why:
1. 22ct Gold Bars (Investment Gold)
- Priced closer to the live gold rate with minimal markup.
- Sold primarily as an investment, so bars are VAT-exempt in the UK.
- Cost per gram is more transparent and usually includes only a small premium for minting and packaging.
- Ideal for those wanting to store or resell gold in the future.
2. 22ct Gold Jewellery
Also based on the live 22ct gold rate, but the final retail price includes:
- Craftsmanship (making) charges
- Design complexity
- Hallmarking
- VAT (where applicable)
Jewellery is considered a wearable luxury, not a pure investment vehicle, so additional charges reflect its artistic and functional value.
A Simple Comparison
| Aspect | 22ct Gold Bar | 22ct Gold Jewellery |
|---|---|---|
| Purpose | Investment | Adornment/Luxury |
| Price Basis | Spot gold + small premium | Spot gold + making charges + VAT |
| VAT | Not applicable (in the UK) | Applicable |
| Resale Value | High liquidity | May vary (depends on design, condition) |
22ct Gold Bar
Purpose: Investment
Price Basis: Spot gold + small premium
VAT: Not applicable (in the UK)
Resale Value: High liquidity
22ct Gold Jewellery
Purpose: Adornment/Luxury
Price Basis: Spot gold + making charges + VAT
VAT: Applicable
Resale Value: May vary (depends on design, condition)
