From en primeur apathy to tariffs and geopolitical tensions, a number of factors have underpinned the fine wine market’s decline over the past couple of years. As such, it comes as something of a surprise to read a rather positive quarterly report from fine wine investment firm WineCap, highlighting fine wine’s status as the most sought-after collectible among UK high-net-worth individuals (HNWIs).
Quoting its own 2025 UK Wealth Report, WineCap says 96% of wealth managers expect demand for fine wine to grow during 2025 – more than for any other luxury asset – with 80% saying that fine wine’s exemption from Capital Gains Tax (CGT) as a ‘wasting asset’ is driving renewed investor interest as tax rules are tightened.
While acknowledging that short-term volatility and trade disruptions have created a subdued environment, WineCap emphasises the attractiveness of “wine’s stability and resilience”, adding that price drops may encourage people to see now as an attractive entry point.
Is such optimism well-founded? Well, up to a point, according to Matthew O’Connell, head of investment at Bordeaux Index and CEO of the company’s LiveTrade platform. “It’s hard to be overly optimistic, given the recent market headwinds but, as the saying goes, it’s always darkest before the dawn,” he says.
“We’ve now been in a declining wine market for over 30 months, which is unprecedented by historical standards. The uncomfortable reality is that most young Bordeaux is now trading below release price but, where pricing aligns with market reality, buyers are willing and able to act.
“Indeed, stock depletion has been the dominant trend over the past two-plus years and, at some point, this process must reverse. Whether we’ve reached market bottom remains to be seen, but we’re confident that genuinely top, blue-chip wines, now at far more compelling prices, will continue to find an enthusiastic audience.”
Click HERE to read the full article.