£

# £2,000 in 1935 → £138,565.20 in 2018

👉 You may be interested in £2,000 in 1935 → 2020

### U.K. Inflation Rate, £2,000 in 1935 to 2018

According to the Office for National Statistics composite price index, prices in 2018 are 6,828.26% higher than average prices since 1935. The British pound experienced an average inflation rate of 5.24% per year during this period, meaning the real value of a pound decreased.

In other words, £2,000 in 1935 is equivalent in purchasing power to about £138,565.20 in 2018, a difference of £136,565.20 over 83 years.

The 1935 inflation rate was 0.63%. The inflation rate in 2018 was 2.48%. The 2018 inflation rate is higher compared to the average inflation rate of 1.65% per year between 2018 and 2020.

 Cumulative price change 6,828.26% Average inflation rate 5.24% Converted amount (£2,000 base) £138,565.20 Price difference (£2,000 base) £136,565.20 CPI in 1935 15.900 CPI in 2018 1,101.593 Inflation in 1935 0.63% Inflation in 2018 2.48%

GBP Inflation since 1750
Annual Rate, the Office for National Statistics CPI

### Buying power of £2,000 in 1935

This chart shows a calculation of buying power equivalence for £2,000 in 1935 (price index tracking began in 1750).

For example, if you started with £2,000, you would need to end with £138,565.20 in order to "adjust" for inflation (sometimes refered to as "beating inflation").

When £2,000 is equivalent to £138,565.20 over time, that means that the "real value" of a single U.K. pound decreases over time. In other words, a pound will pay for fewer items at the store.

This effect explains how inflation erodes the value of a pound over time. By calculating the value in 1935 dollars, the chart below shows how £2,000 buys less over the past 83 years.

According to the Office for National Statistics, each of these GBP amounts below is equal in terms of what it could buy at the time:

Year Pound Value Inflation Rate
1935 £2,000.00 0.63%
1936 £2,012.58 0.63%
1937 £2,088.05 3.75%
1938 £2,113.21 1.20%
1939 £2,176.10 2.98%
1940 £2,540.88 16.76%
1941 £2,817.61 10.89%
1942 £3,018.87 7.14%
1943 £3,119.50 3.33%
1944 £3,207.55 2.82%
1945 £3,295.60 2.75%
1946 £3,396.23 3.05%
1947 £3,635.22 7.04%
1948 £3,911.95 7.61%
1949 £4,025.16 2.89%
1950 £4,150.94 3.13%
1951 £4,528.30 9.09%
1952 £4,943.40 9.17%
1953 £5,094.34 3.05%
1954 £5,194.97 1.98%
1955 £5,421.38 4.36%
1956 £5,698.11 5.10%
1957 £5,899.37 3.53%
1958 £6,088.05 3.20%
1959 £6,113.21 0.41%
1960 £6,176.10 1.03%
1961 £6,389.94 3.46%
1962 £6,666.67 4.33%
1963 £6,792.45 1.89%
1964 £7,018.87 3.33%
1965 £7,345.91 4.66%
1966 £7,635.22 3.94%
1967 £7,836.48 2.64%
1968 £8,201.26 4.65%
1969 £8,641.51 5.37%
1970 £9,194.97 6.40%
1971 £10,062.89 9.44%
1972 £10,779.87 7.13%
1973 £11,761.01 9.10%
1974 £13,647.80 16.04%
1975 £16,955.97 24.24%
1976 £19,761.01 16.54%
1977 £22,893.08 15.85%
1978 £24,792.45 8.30%
1979 £28,113.21 13.39%
1980 £33,169.81 17.99%
1981 £37,106.92 11.87%
1982 £40,301.89 8.61%
1983 £42,150.94 4.59%
1984 £44,251.57 4.98%
1985 £46,943.40 6.08%
1986 £48,540.88 3.40%
1987 £50,566.04 4.17%
1988 £53,044.03 4.90%
1989 £57,169.81 7.78%
1990 £62,578.62 9.46%
1991 £66,251.57 5.87%
1992 £68,729.56 3.74%
1993 £69,823.90 1.59%
1994 £71,509.43 2.41%
1995 £73,987.42 3.47%
1996 £75,773.58 2.41%
1997 £78,150.94 3.14%
1998 £80,830.19 3.43%
1999 £82,075.47 1.54%
2000 £84,503.14 2.96%
2001 £86,000.00 1.77%
2002 £87,433.96 1.67%
2003 £89,962.26 2.89%
2004 £92,641.51 2.98%
2005 £95,257.86 2.82%
2006 £98,301.89 3.20%
2007 £102,515.72 4.29%
2008 £106,603.77 3.99%
2009 £106,037.74 -0.53%
2010 £110,930.82 4.61%
2011 £116,704.40 5.20%
2012 £120,452.83 3.21%
2013 £124,113.21 3.04%
2014 £127,044.03 2.36%
2015 £128,301.89 0.99%
2016 £130,528.30 1.74%
2017 £135,207.55 3.58%
2018 £138,565.20 2.48%
2019 £141,059.37 1.80%
2020 £143,175.27 1.50%*
* Compared to previous annual rate. Not final. See inflation summary for latest 12-month trailing value.
Click to show 77 more rows

### How to Calculate Inflation Rate for £2,000, 1935 to 2018

This inflation calculator uses the following inflation rate formula:

CPI in 2018CPI in 1935
×
1935 GBP value
=
2018 GBP value

Then plug in historical CPI values. The U.K. CPI was 15.9 in the year 1935 and 1101.59335 in 2018:

1101.5933515.9
×
£2,000
=
£138,565.20

£2,000 in 1935 has the same "purchasing power" or "buying power" as £138,565.20 in 2018.

To get the total inflation rate for the 83 years between 1935 and 2018, we use the following formula:

CPI in 2018 - CPI in 1935CPI in 1935
×
100
=
Cumulative inflation rate (83 years)

Plugging in the values to this equation, we get:

1101.59335 - 15.915.9
×
100
=
6,828%

Politics and news often influence economic performance. Here's what was happening at the time:

• Hitler violates the Treaty of Versailles by ordering German rearmament.
• In an event known as "Black Sunday", a severe sandstorm strikes the US Midwest, coining the term "Dust Bowl".
• Communist forces end their Long March bringing Mao Zedong to prominence.
• First trans-pacific airmail flight by a flying boat the "China Clipper" that took off from Alameda, California

### Data Source & Citation

Raw data for these calculations comes from the composite price index published by the UK Office for National Statistics (ONS). A composite index is created by combining price data from several different published sources, both official and unofficial. The Consumer Price Index, normally used to compute inflation, has only been tracked since 1988. All inflation calculations after 1988 use the Office for National Statistics' Consumer Price Index, except for 2017, which is based on The Bank of England's forecast.

You may use the following MLA citation for this page: “£2,000 in 1935 → 2018 | UK Inflation Calculator.” Official Inflation Data, Alioth Finance, 21 Jan. 2020, https://www.officialdata.org/1935-GBP-in-2018?amount=2000.