Official Hard Reserves (Exchange Equalisation Account)
🥇 GOLD RESERVES
310.29 tonnes · BoE vaults · unchanged since 2002
~£36bn
↑ Value up on gold price rise
💵 FOREIGN CURRENCY ASSETS
USD, EUR, JPY, CAD holdings · EEA managed by BoE
~£85bn
↑ Feb 2026 all-time high
🏛️ IMF SPECIAL DRAWING RIGHTS
SDR holdings · ~SDR 15bn allocated to UK
~£16bn
≈ $1.36 per SDR · Mar 2026
📋 IMF RESERVE TRANCHE POSITION
Unconditional drawing right at IMF
~£4bn
Immediately accessible
Composition of Official Reserves
GOLD 27%
FX 61%
SDR 9%
RTP 3%
HM Treasury · Apr 2026 Release
Gold Reserve Detail
Holdings
310.3t
Tonnes · Q1 2026
Value (USD)
$46.1bn
Apr 2026
Value (GBP)
~£36bn
Est. at ~£3,250/oz
World Ranking
#17
By gold holdings
⚠️ Historical note: The UK sold 395 tonnes of gold between 1999–2002 at an average price of ~$275/oz — now known as "Brown's Bottom." Those 395 tonnes would be worth approximately £40bn+ at today's prices. The remaining 310 tonnes have been held constant since 2002.
Gold vs National Debt Coverage
Gold Reserves
£36bn
Official Reserves
£130bn
National Debt
£2,796bn
💡 Official reserves cover only 4.7% of the national debt. Gold alone covers just 1.3%.
Money Supply (Bank of England · Feb 2026)
M0 — MONETARY BASE
Physical notes & coins + BoE reserves
£104bn
M1 — NARROW MONEY
M0 + current account deposits
£2,282bn
M2 — BROAD MONEY
M1 + savings & short-term deposits
£3,198bn
↑ All-time high Feb 2026
M3 — BROAD + TIME DEPOSITS
M2 + longer-term bank deposits
£3,757bn
M2 ANNUAL GROWTH
Year-on-year change Feb 2026
+2.8%
📊 UK M2 has grown from ~£900bn in 2000 to £3.2tn in 2026 — a 3.5× increase in 26 years. Over the same period the gold price has risen from ~$280/oz to ~$3,000+/oz.
Bank of England Balance Sheet (Apr 2026)
BoE TOTAL ASSETS
Central bank balance sheet
£796bn
GILT HOLDINGS (QE)
UK govt bonds held via QE — being unwound
~£680bn
↓ Active QT reduction
BoE BASE RATE
Set Mar 2026
3.75%
DEPOSIT RATE
Bank deposit rate
3.50%
⚠️ The BoE's balance sheet expanded from ~£80bn pre-2009 to a peak of ~£895bn during COVID QE. It is currently being reduced via Quantitative Tightening (QT) — selling gilts back to the market at a loss.
M2 Money Supply vs CPI Inflation vs Gold Price (2000–2026)
M2 Money Supply (£bn, left axis)
CPI Inflation % (right axis)
Gold Price (USD/oz, right axis ÷10)
📈 The chart shows the relationship between money creation (M2), inflation, and gold. Notice how gold price broadly tracks money supply growth over the long term, and how the post-COVID M2 surge (2020–21) preceded the 2022–23 inflation spike. Gold has risen ~10× since 2000 while M2 has risen ~3.5×.
National Balance Sheet Snapshot — Assets vs Liabilities
Official Reserves
£130bn
EEA · HM Treasury
Gold Value
£36bn
310 tonnes · BoE vaults
BoE Balance Sheet
£796bn
Incl. QE gilts
M2 Money Supply
£3.2tn
Broad money · Feb 2026
National Debt (PSND)
£2.80tn
Excl. unfunded liabilities
Total Liabilities (incl. pensions)
~£9tn+
Off-balance-sheet included
Hard Assets as % of National Debt
Gold Reserves
1.3%
All Reserves
4.7%
BoE Balance Sheet
28%
M2 vs Debt
114%
ℹ️ Important context: Unlike households, governments don't need to "back" their debt with hard assets — they can tax, issue bonds, and create money. However, the UK's hard reserve position is weak compared to countries like Germany, Italy, or the US which hold far larger gold reserves relative to debt. The BoE's QE gilt holdings are the largest single "asset" but represent money already created, not independent wealth.