1/10 oz The Royal Mint Lunar Gold Coin

The Royal Mint's Zodiac Coin in Fractional Gold

The 1/10 oz Royal Mint Lunar gold coin is part of the Shengxiao Collection, a 12-year series pairing Chinese zodiac animals with British minting heritage. Each annual issue contains 3.11 grams of 999.9 fine gold and carries a £10 face value as UK legal tender, giving it the same CGT and VAT exemptions as the 1/10 oz Britannia.

The series launched in 2014 with the Year of the Horse and completes its first cycle with the Year of the Snake in 2025. A second cycle begins in 2026. The primary reverse designer, Wuon-Gean Ho, is a British-Chinese print artist specialising in wood engravings, an unusual background for coin design that gives the series a distinctive aesthetic rooted in both Eastern and Western artistic traditions. The number 8, considered the luckiest number in Chinese culture, is incorporated into each coin's design.

A significant change occurred from 2021 onwards: the Royal Mint discontinued bullion-grade releases and shifted to Proof and Brilliant Uncirculated finishes only. This increased premiums substantially and moved the 1/10 oz Lunar from a pure investment product toward a collector-investor hybrid. Pre-2021 bullion versions now trade on the secondary market, often at premiums reflecting their limited availability.

For UK buyers attracted to lunar-themed gold coins, the Royal Mint Lunar's key advantage over the dominant Perth Mint Lunar series is CGT exemption. A UK investor selling Perth Mint Lunar coins at a profit would owe Capital Gains Tax; Royal Mint Lunar coins are exempt as UK legal tender.

1/10 oz Royal Mint Lunar Gold Coin Specifications

Annual Designs by Year and Designer

The obverse featured Ian Rank-Broadley's Queen Elizabeth II portrait from 2014 to 2015, followed by Jody Clark's updated portrait from 2016 through 2023. Martin Jennings' King Charles III portrait has appeared from 2024 onward. All years include a guilloche background pattern on the obverse, a security feature introduced specifically with this series that gives the coin a textured, wave-like appearance in the fields surrounding the portrait.

The series began in the Year of the Horse (the 7th animal in the Chinese zodiac cycle, not the first), a pragmatic production timeline decision rather than a cultural one. A second complete cycle begins in 2026 with a new Horse design. Mintage varied significantly across the series: the 2014 Horse silver bullion had 300,000 pieces, while the 2023 Rabbit gold proof was limited to just 388.

From 2021, the Royal Mint discontinued bullion-grade versions, offering only Proof and Brilliant Uncirculated finishes. This shifted the product from a standard bullion coin to a collector-grade piece at higher premiums, and means that pre-2021 bullion versions can only be sourced on the secondary market.

Royal Mint Lunar Tax Advantages

As UK legal tender denominated in sterling, the Royal Mint Lunar carries identical tax treatment to the Britannia and Sovereign series. This is the defining advantage over lunar coins from other mints.

United Kingdom

• VAT: 0%. Exempt as investment gold.
• CGT: Exempt. Sterling legal tender coins are not chargeable assets. This applies to all zodiac years and all denominations in the Shengxiao Collection.
• SIPP: Eligible for inclusion in Self-Invested Personal Pensions.

United States

• IRA: At 999.9 fine gold, the Royal Mint Lunar meets the IRS 99.5% purity threshold for precious metals IRAs. Confirm eligibility with your custodian, as some require coins to appear on specific approved lists.
• Capital gains: Taxed as collectibles at a maximum 28% federal rate.
• Sales tax: State-dependent. Most states with bullion exemptions cover legal tender gold coins from sovereign mints.

Canada

• GST/HST: Exempt at 999.9 fine gold from a recognised sovereign mint.
• RRSP/TFSA: Eligible through approved dealers.

European Union

• VAT: Exempt as investment gold under EU Directive 98/80/EC.

Key Comparison

The Perth Mint's Australian Lunar series, which dominates the global lunar coin market, does not carry UK CGT exemption. A UK investor holding Perth Mint Lunar gold coins pays CGT at their marginal rate (18% basic, 24% higher) on any gains above the £3,000 annual allowance. The Royal Mint Lunar avoids this entirely.

Royal Mint Lunar vs Perth Mint Lunar and Other Zodiac Coins

The Perth Mint's Lunar series is the original and most established lunar bullion programme, running since 1996 across three series cycles. It offers a wider weight range (1/20 oz to 10 kg in gold), higher mintages, and global dealer distribution that the Royal Mint Lunar cannot match. Perth Mint Lunars are 999.9 fine gold, identical in purity. For pure liquidity and secondary-market depth, the Perth Mint Lunar wins.

The Royal Mint Lunar's advantages are specific but significant. CGT exemption in the UK is the headline differentiator: gains on Perth Mint coins are taxable, gains on Royal Mint Lunar coins are not. Lower mintages (the Royal Mint never published unlimited bullion-grade Lunars) also give the Shengxiao Collection stronger collectible appeal, with secondary market premiums rising on earlier years.

The shift from bullion-grade to Proof and BU finishes after 2020 is a double-edged factor. It increased the premium required to buy new issues, pushing the product away from cost-sensitive bullion buyers. But it also means that pre-2021 bullion versions are increasingly scarce, and current issues carry a finish quality that enhances their appeal as gifts or display pieces.

Against non-lunar alternatives at the same weight, the standard 1/10 oz Britannia offers the same tax treatment at a lower premium, since it is a standard bullion product with unlimited mintage. Buyers choosing the Royal Mint Lunar over the standard Britannia are paying for the zodiac design, limited availability, and set-collecting potential.

The Chinese Lunar coins from the People's Bank of China predate all competitors (first minted in 1981) and offer the most diverse range of shapes and finishes, including scallop and fan formats. They are 999 fine (three nines, not four) and are not IRA-eligible. Their appeal is primarily to collectors of Chinese numismatics rather than bullion investors.