Due To Cost-Of-Living Crisis In UK
In the face of an escalating cost of living crisis, luxury watch owners are resorting to pawnbrokers to convert their cherished timepieces into cash, as evidenced by a staggering 36% increase in transactions over the past year, according to data from The Watch Register.
The data, extracted from The Watch Register’s database that holds a staggering £1.5 billion worth of lost and stolen watches, paints a grim picture of the financial pressure pushing individuals to part with their luxury watches for immediate monetary relief.
A study commissioned by The Watch Register found that 22% of luxury watch owners have sold their watches over the past two years, with a significant portion attributing their decision to the prevailing cost of living crisis.
Among those who sold their watches, 37% cited the need for funds as the primary motivator.
Luxury watches, fetching thousands of pounds in the second-hand market, have become a sought-after commodity for those seeking immediate cash injections.
The findings reveal that watches valued between £6,000 and £9,999 accounted for the highest proportion of sales, followed closely by those priced between £4,000 and £4,999, and £5,000 and £5,999.
Pawnbroking And Selling
Commenting on the trend, Katya Hills, Managing Director at The Watch Register, underscored the lucrativeness of the used luxury watch market, noting that the current economic climate has driven owners to explore avenues for bolstering their cash reserves, including pawnbroking and selling.
Hills reiterated the crucial role of due diligence in watch transactions, urging businesses and buyers to exercise caution to mitigate the risk of dealing with illicit goods.
In collaboration with the National Pawnbrokers Association (NPA) in the UK, The Watch Register is pivotal in conducting thorough checks, upholding the integrity of transactions and promoting community safety.
The NPA echoed the sentiment, affirming the role of The Watch Registerer’s services in enhancing security measures within the pawnbroking industry.
In light of increased regulation and compliance requirements, major pawnbroker chains have adopted The Watch Register’s theft checks, bolstering efforts to identify and prevent the circulation of stolen property.
The Watch Register’s database serves as a crucial tool for verifying the legitimacy of watches offered for sale or loan, aiding in recovering lost and stolen timepieces and safeguarding against fraudulent transactions. With an average of four lost or stolen watches located daily,
Featured image: The Watch Register combats illicit trade and ensures transparency in the luxury watch market. Credit: Laurenz Heymann
