The World Gold Council (WGC) reports that gold jewellery demand in the UK increased by 1% in the first quarter of 2016, despite an overall global gold jewellery decline of 19%.
The vast majority of the worldwide decline has been attributed to soaring gold prices, market disruption in India and supply-constraints in China.
In Europe, jewellery demand continued in a similar fashion to the last four to five years. After a seasonal jump in Q4 2015, demand subsided back to levels that are in line with the 13.3t Q1 to Q3 average since 2012.
The 1% increase follows data on the number of articles being hallmarked by the Birmingham Assay Office, which suggests that interest picked up in the latter half of the first quarter, having been quiet in January after the usual Q4 seasonal rally.
The WDC reports that gold bullion demand, however, grew 21% to 1,289.8t which is the strongest Q1 on record, and has been driven by investment gains.