James Constantinou, chief executive and founder of Prestige Pawnbrokers, has detailed how gold jewellery hallmarks work and how buyers can determine real gold value. His advice comes as gold prices sit about $1,000 an ounce higher than a year ago, despite prices easing in the past week.
The price of gold experienced major swings in 2026 after hitting a record high of more than $5,000 an ounce earlier in the year before dropping. The past year's gold frenzy was initially driven by investors looking for a safe place to park their money during geopolitical uncertainty, starting with the Trump tariffs, through interest-rate uncertainty and the outbreak of war in the Middle East.
Last week was the precious metal's best week since January, while gold mining stocks had their strongest five-day run since 2008. Like any commodity, the price of gold can go up and down, but investors often turn to conservative commodities like gold in volatile times.
Drivers of gold price growth
Gold prices generally rise in times of economic or political uncertainty and major events, like the war in Iran. Constantinou said: "Gold is connected to the US dollar and governments and investors often turn to gold as it is viewed as a safe asset."
Constantinou noted that gold is less volatile than silver. He added: "There's also increasing demand for gold from tech firms. Artificial intelligence companies often use gold in their products. This is going to be a major growth area."
Identifying real gold jewellery
Determining whether gold jewellery is real requires looking at the colour, weight and texture of the piece. Buyers must also watch out if the jewellery is magnetic, as magnetic items are not real gold.
An item could also look like pure gold but actually be made using another non-magnetic base metal like copper, stainless steel, or aluminium. These base metals would not be magnetic. Just because a piece of jewellery is gold in appearance does not mean it is real gold, as it could be gold-plated or another metal.
Gold hallmarks and purity standards
Constantinou said: "Gold jewellery in Britain has to be hallmarked and there are different numbers to look out for depending on the purity. Gold purity is essentially how much gold there is contained in the piece of jewellery."
Under British standards, 999 is 23 carat (ct), 916 is 22ct, 750 is 18ct and 585 is 14ct. The higher the ct, the more gold there is in the piece.
Constantinou added: "The hallmark tells us the purity and also where the piece has been assayed. There are four assay offices in Britain: Birmingham, Edinburgh, London and Sheffield." Buyers might also see 18k rather than 750 stamped on a piece of jewellery, but whatever the hallmark says it still needs to be checked and verified.
Pricing across carat grades
The cheapest gold jewellery commonly found in Britain is 9ct, which is 37.5 per cent pure gold, and this level of gold appears in all sorts of jewellery. At the more expensive end there is 22ct gold jewellery, although it is not as common in Britain.
Constantinou added: "Then there's 24ct, which is 999 purity and is mainly found in gold coins and bars. It's more expensive because you're getting higher purity of gold." He advised buyers to go for the highest ct they can afford, ideally 18ct or 22ct, noting that the most affordable options have lower amounts of gold in them.
The value of gold jewellery depends partly on its weight. Constantinou said: "If you've got more weight at the same purity, you've got more gold. Purity makes a big difference too. If you've got 10 grams of 9ct gold, that's 37.5 per cent pure gold. If you've got 10 grams of 18ct, that's 75 per cent pure gold, so the 18ct piece contains considerably more gold despite them weighing exactly the same."
Investment designs and value factors
Constantinou said: "If you can invest in a pure gold bar, that's one option. With jewellery, I'd look at simple designs such as bangles, bracelets, chains and rings because it's easier to establish and understand the value of the gold in the piece."
The gold price and purity are important, but design, craftsmanship and condition also matter when buying gold jewellery and viewing it as a long-term investment. Valuation requires checking condition, whether the item is set with gemstones or diamonds, how rare the piece is and the demand for it. Sellers must also remember they will not necessarily get the same price somebody would pay to buy the item.
Older jewellery and luxury brand values
When asked if older gold jewellery is worth more than new jewellery, Constantinou said: "Not necessarily. Older jewellery can be worth more, but it depends entirely on what the piece is." He explained that gold value is affected by purity, weight and current gold price, though rare, antique or well-known maker pieces differ.
Constantinou added: "When you're buying older jewellery, look at the hallmark, who made it, the purity and the weight. It's also important to check whether it's had any repairs, whether there are missing stones or any damage. If it has diamonds or gemstones, look at their quality and make sure they're genuine. If it's an antique piece, the condition, maker's mark and age are important."
Brand names can also add value, with pieces from Cartier, Van Cleef & Arpels or Bulgari worth more than standard jewellery. Constantinou said: "We've seen high-end luxury jewellery become the go-to investment in the market recently, and some of the price increases show exactly why. Cartier's 18ct Yellow Gold Love Bracelet has gone from around £5,500 to £6,000 in the pre-loved market in the past year."
Chanel has also increased prices across fine jewellery, with one 18ct yellow gold and diamond Coco Crush ring rising from £14,400 in January to £15,800, an increase of almost 10 per cent. Constantinou added: "If you're looking at it as an investment, the gold value and the brand value are both important, alongside the purity, weight and condition."
