According to surveyors, buyers are flocking to art and antiques auctions in search for sound investments that could provide high returns.
In the last three months alone, surveyors have reported an increase of almost two-thirds in the number of people going to auctions.
Art is seen as a tangible asset that has proven to perform better than other forms of investment, the Royal Institution of Chartered Surveyors (Rics) said.
However, the increase in popularity has pushed up the value of such items, particularly precious metals.
A survey was carried out by Rics, involving 54 members who specialise in art.
Rics chief economist Simon Rubinsohn, said: “The UK art and antiques market is buoyant at the moment as buyers continue to invest in material assets during uncertain economic times.”
The survey revealed that this year is the seventh consecutive year in which prices have risen.
This month saw work by Damien Hirst – I am Become Death, Shatterer of Worlds – created entirely using the wings from butterflies, which was sold for a cool £2.2m at an auction house in London.
However, the price area that has it seen the fastest rise in prices is £1,000 to £5,000 bracket.
Silver and jewellery have also gained popularity throughout the years and is now among the most sought after items by investors.
Surveyors are predicting demand to outstrip supply over the course of 2011.