Historical Inflation Rates in the UK: 1900 - 2025

Inflation in the UK directly affects the relative value of the pound, that is the amount of goods or services that a pound will buy you.

The UK historical inflation rates table includes the relative value of a pound, reverse engineered against historical UK inflation rates. The result is a relative amount that a product costing one pound in 2025 would have cost in previous years.

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The Historical Inflation Rates in the UK: 1900 - 2025 and £1 equivalents are shown in pound format for amounts above 10 pence, once the value drops below 10 pence we display the equivalent value in pence to 2 decimal places for greater detail.

Historical Inflation Rates in the UK: 1900 - 2025 and £1 equivalent

Year	Rate	=£1	Year	Rate	=£1	Year	Rate	=£1	Year	Rate	=£1	Year	Rate	=£1
2023	7.5%	£ 0.91	1998	1.6%	£ 0.51	1973	9.2%	7.8p	1948	7.7%	2.63p	1923	-6%	1.78p
2022	9.8%	£ 0.83	1997	1.8%	£ 0.50	1972	7.1%	7.28p	1947	7%	2.46p	1922	-14%	2.07p
2021	2.6%	£ 0.81	1996	2.5%	£ 0.49	1971	9.4%	6.65p	1946	3.1%	2.39p	1921	-8.6%	2.27p
2020	2%	£ 0.79	1995	2.7%	£ 0.48	1970	6.4%	6.25p	1945	2.8%	2.32p	1920	15.4%	1.97p
2019	2%	£ 0.77	1994	1.9%	£ 0.47	1969	5.4%	5.93p	1944	2.7%	2.26p	1919	10.1%	1.79p
2018	2%	£ 0.76	1993	2.5%	£ 0.45	1968	4.7%	5.67p	1943	3.4%	2.18p	1918	22%	1.46p
2017	2.74%	£ 0.74	1992	4.3%	£ 0.44	1967	2.5%	5.53p	1942	7.1%	2.04p	1917	25.2%	1.17p
2016	1.79%	£ 0.73	1991	7.5%	£ 0.41	1966	3.9%	5.32p	1941	10.8%	1.84p	1916	18.1%	0.99p
2015	0%	£ 0.73	1990	7%	£ 0.38	1965	4.8%	5.08p	1940	16.8%	1.58p	1915	12.5%	0.88p
2014	1.5%	£ 0.72	1989	5.4%	£ 0.36	1964	3.3%	4.91p	1939	2.8%	1.53p	1914	-0.3%	0.88p
2013	2.6%	£ 0.70	1988	4.1%	£ 0.35	1963	2%	4.82p	1938	1.6%	1.51p	1913	-0.4%	0.89p
2012	2.8%	£ 0.68	1987	3.3%	£ 0.33	1962	4.3%	4.62p	1937	3.4%	1.46p	1912	3%	0.86p
2011	4.5%	£ 0.65	1986	3%	£ 0.32	1961	3.4%	4.47p	1936	0.7%	1.45p	1911	0.1%	0.86p
2010	3.3%	£ 0.63	1985	4.9%	£ 0.31	1960	1%	4.42p	1935	0.7%	1.44p	1910	0.9%	0.85p
2009	2.2%	£ 0.61	1984	4.3%	£ 0.30	1959	0.6%	4.4p	1934	0%	1.44p	1909	0.5%	0.85p
2008	3.6%	£ 0.59	1983	4.9%	£ 0.28	1958	3%	4.27p	1933	-2.1%	1.47p	1908	0.5%	0.84p
2007	2.3%	£ 0.58	1982	7.9%	£ 0.26	1957	3.7%	4.12p	1932	-2.6%	1.51p	1907	1.2%	0.83p
2006	2.3%	£ 0.57	1981	10.9%	£ 0.24	1956	4.9%	3.92p	1931	-4.3%	1.58p	1906	0%	0.83p
2005	2%	£ 0.56	1980	16.4%	£ 0.20	1955	4.5%	3.76p	1930	-2.8%	1.62p	1905	0.4%	0.83p
2004	1.3%	£ 0.55	1979	13.4%	£ 0.18	1954	1.8%	3.69p	1929	-0.9%	1.64p	1904	-0.2%	0.83p
2003	1.4%	£ 0.54	1978	8.3%	£ 0.17	1953	3.1%	3.58p	1928	-0.3%	1.64p	1903	0.4%	0.83p
2002	1.2%	£ 0.53	1977	15.8%	£ 0.14	1952	9.2%	3.28p	1927	-2.4%	1.68p
2001	1.2%	£ 0.53	1976	16.5%	£ 0.12	1951	9.1%	3p	1926	0.8%	1.67p
2000	0.8%	£ 0.52	1975	24.2%	9.87p	1950	3.1%	2.91p	1925	0.3%	1.66p
1999	1.3%	£ 0.52	1974	16%	8.51p	1949	2.8%	2.83p	1924	-0.7%	1.68p

The affect of inflation on Salaries

As the Historical Inflation Rates in the UK: 1900 - 2025 table illustrates, the value of the pound has changed considerably since 1900 and so too have salaries. The Salary Inflation Calculator allows you to enter your current annual salary in 2025 and see the equivalent salaries in former years.

Historical PAYE and Salary Calculator

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