UK Gemstone Industry Set to Double in Value by 2036, Driven by Luxury Demand and Investment Interest

The United Kingdom’s gemstone industry is entering a decade of sustained expansion, with market demand projected to grow from USD 4.1 billion in 2026 to USD 8.1 billion by 2036, according to newly released industry forecasts. This growth trajectory represents a compound annual growth rate (CAGR) of 6.9% over the ten-year period, underscoring the UK’s role as a global hub for luxury goods, bespoke craftsmanship, and high-net-worth consumption.

The forecast reflects a convergence of long-standing cultural traditions and evolving consumer and investor behavior. Demand is being shaped not only by fine jewelry purchases but also by the growing financialization of rare gemstones as alternative assets. London’s position as an international clearinghouse for diamonds and colored stones, supported by world-renowned auction houses and a sophisticated financial services ecosystem, continues to anchor the country’s strategic importance in global gemstone trading.

To access the complete data tables and in-depth insights — Request Your Sample Report Now

Market Overview: Size, Growth, and Strategic Context

In 2026, gemstone sales in the UK are valued at an estimated USD 4.1 billion. By 2036, the market is expected to reach USD 8.1 billion, reflecting robust long-term demand across both decorative and investment-driven applications. Growth is supported by the UK’s concentration of ultra-high-net-worth individuals, its established luxury retail infrastructure, and the presence of institutions such as the London Diamond Bourse.

The market spans rough and polished gemstones, with applications ranging from traditional bridal and fine jewelry to contemporary luxury art objects and store-of-value investments. Investors are increasingly incorporating certified gemstones—particularly rare colored stones—into diversified portfolios as tangible hedges against inflation and market volatility.

Key Market Statistics at a Glance

• Market Valuation (2026): USD 4.1 billion
• Forecast Valuation (2036): USD 8.1 billion
• CAGR (2026–2036): 6.9%
• Leading Region by Growth: England (7.6% CAGR)
• Leading Product Type: Emerald (30.0% share)
• Leading Application: Jewelry & Ornaments (55.0% share)

Why the UK Remains a Global Gemstone Hub

The UK’s gemstone demand is rooted in its historical role in global gem trading and its modern status as a leading luxury market. London remains central to this ecosystem, hosting exclusive jewelry auctions that influence global price benchmarks and trends. The city’s dense network of auction houses, luxury brands, and bespoke workshops provides a steady pipeline for high-value gemstones.

Beyond retail consumption, the UK’s luxury art and collectibles market depends on a continuous supply of exceptional stones for objets d’art and sculptural creations. This demand is reinforced by a financial sector capable of structuring gemstone-backed investments, adding a distinct investment-driven dimension to the market.

Product and Application Segmentation

The market is segmented by both gemstone type and end-use application, reflecting the dual role of gemstones as aesthetic objects and financial instruments.

Emeralds command the largest product share at 30.0%, driven by consumer fascination with their deep green color and symbolic associations with luxury and renewal. High-value Colombian emeralds, in particular, are sought after for both high jewelry collections and investment portfolios.

Other significant product categories include rubies, sapphires, opals, spinels, and a range of niche stones. Each category carries different rarity premiums, cultural significance, and end-use functions.

On the application side, Jewelry & Ornaments dominate with a 55.0% share. This segment spans mass-market pieces featuring smaller stones and bespoke haute joaillerie from iconic houses. The enduring cultural role of gem-set jewelry in marking life milestones—such as engagements, weddings, and anniversaries—continues to underpin demand.

The Luxury Art segment represents a smaller but high-value niche, encompassing gemstones embedded in sculptural works, fashion accessories, and collectible art pieces. Smaller emerging applications include technology and spirituality, though these remain secondary to core luxury-driven demand.

Regional Growth Dynamics Across the UK

Regional growth patterns reflect differences in wealth concentration, luxury retail infrastructure, and cultural preferences.

• England (7.6% CAGR): Leads national growth, driven by London’s global luxury status, dense concentration of jewelry flagships, and wealth clusters in the South East.
• Scotland (6.8% CAGR): Supported by cultural heritage demand, traditional jewelry styles, and affluent urban centers such as Edinburgh and Glasgow.
• Wales (6.3% CAGR): Benefits from growing affluence in Cardiff and renewed interest in Welsh gold paired with gemstones.
• Northern Ireland (5.6% CAGR): Growth reflects a strong local jewelry manufacturing tradition in Belfast and steady demand linked to ceremonial markets.

Industry Dynamics: Drivers, Restraints, and Opportunities

Growth Drivers

Shifting consumer values toward ethical provenance, storytelling, and uniqueness are reshaping purchasing behavior. Certified ethical origins and rare colored stones are increasingly favored. In parallel, gemstone-focused investment funds and digital trading platforms are broadening market access for investors.

Market Restraints

Heightened scrutiny over ethical sourcing and sustainability is increasing compliance costs for traders and retailers. The high capital required to acquire premium stones limits liquidity, while economic downturns can dampen discretionary luxury spending.

Emerging Opportunities

Technological innovation is opening new growth channels. Blockchain-based provenance tracking, digital certification, and high-definition 3D viewing tools are enhancing transparency and enabling secure online transactions. Rental models for high-value jewelry are also emerging as a supplementary market segment.

Competitive Landscape and Key Participants

The UK gemstone market is highly stratified, with competition based on access to premium rough material, cutting expertise, brand heritage, and certification credibility. Differentiation is achieved through exclusive mine outputs, mastery in rare stone cutting, and strong ethical provenance guarantees.

Key companies profiled include:

• Gem Diamonds Limited
• Kiran Gems Private Limited
• Gemfields Group Limited
• PJSC ALROSA
• Anglo American plc

Strategic partnerships with elite jewelry brands, top auction houses, and influential designers remain central to securing demand and shaping market trends. After-sales services—such as insurance, secure storage, and resale brokerage—are increasingly integral to competitive positioning.

About This Forecast

This outlook covers gemstone demand in the UK by product type (emerald, ruby, opal, sapphire, spinel, others), application (jewelry & ornaments, luxury art, others), and region (England, Scotland, Wales, Northern Ireland). The forecast period spans 2026 to 2036, with quantitative units expressed in USD billions.

Browse Related Insights

Demand for Hanger in USA: https://www.futuremarketinsights.com/reports/united-states-hanger-market

Demand for Canvas Primer in Japan: https://www.futuremarketinsights.com/reports/japan-canvas-primer-market

Demand for Bakery Enzymes in Japan: https://www.futuremarketinsights.com/reports/japan-bakery-enzymes-market

About Future Market Insights (FMI)

Future Market Insights, Inc. (FMI) is an ESOMAR-certified, ISO 9001:2015 market research and consulting organization, trusted by Fortune 500 clients and global enterprises. With operations in the U.S., UK, India, and Dubai, FMI provides data-backed insights and strategic intelligence across 30+ industries and 1,200 markets worldwide.