Silver sales are soaring in the Midlands

A silver rush is gripping the Midlands with the precious metal's value finally jumping to keep pace with the soaring price of gold.

Buyers are paying more than twice as much for silver than at the turn of the year — 70p a gram today, up from 30p a gram at the end of December.

They say they expect the boom to continue to narrow the gap to gold, which has been on the up for four years. At Bowjangles in Wednesbury, around 100 people a day are exchanging unwanted jewellery for cash.

Aaron Sheldon, director of the business in Market Place, said today: "The value of silver has almost tripled in three months.

"Traditionally the price of silver has always been at a ratio to gold but while gold has pretty much tripled in the last four years, silver had remained pretty stable.

"Now it is finally following suit."

However he sounded a note of caution to customers before they rush to part with prized possessions for a quick cash fix.

"The price people would get for the silver would still be around a tenth of what they might expect to get for the jewellery," Mr Sheldon said.

"We have been selling a lot of jewellery for customers to overseas buyers."

Gold prices are continuing to rise and are up seven per cent on the last month, which is more than 30 times the value of silver despite its surge.

Analysts say the falling US dollar has bolstered the value of gold and silver in this country as investors can buy it cheaper due to the favourable exchange rate.

Today's gold prices were £10.75 per gram for nine carat, £16.72 per gram for 14 carat, £21.50 for 18 carat and £28.67 for 24 carat.

Prices for gold have rocketed in the last four years to their highest levels since the late 1970s.

It is seen as a safe haven for investors, particularly in times of stock market turmoil and the economic uncertainty.