UK inflation rate in 1971: 9.44%

UK Inflation Calculator

£

Inflation since 1971 and its effect on pound value

The composite price index (CPI) in 1971 was 80. It was 73.1 in the previous year. This change in CPI is used by the Office for National Statistics to calculate inflation.

According to the Office for National Statistics composite price index, the pound experienced an average inflation rate of 5.73% per year. Prices in 2018 are 1272.8% higher than prices in 1971.

In other words, £100 in 1971 is equivalent in purchasing power to £1,372.84 in 2018, a difference of £1,272.84 over 47 years.

The current inflation rate is now 2.20%1. If this number holds, £100 today will be equivalent to £102.20 next year.

Inflation from 1971 to 2018
Cumulative price change 1272.84%
Average inflation rate 5.73%
Converted amount (£100 base) £1,372.84
Price difference (£100 base) £1,272.84
CPI in 1971 80
CPI in 2018 1098.27186


UK inflation chart from 1988 to 2017. Based on the UK Consumer Price Index.


How to calculate the inflation rate for £100 since 1971

This inflation calculator uses the following inflation rate formula:

CPI in 2018 / CPI in 1971 * 1971 GBP value = 2018 GBP value

Then plug in historical CPI values. The UK CPI was 80 in the year 1971 and 1098.27186 in 2018:

1098.27186 / 80 * £100 = £1,372.84

£100 in 1971 has the same "purchasing power" or "buying power" as £1,372.84 in 2018.


Here are calculations of buying power over time for £100 in 1971 (price index tracking began in 1750). Each of these GBP amounts below is equivalent in terms of what it could buy at the time:
Year GBP Value Inflation Rate
1971 £100.00 9.44%
1972 £107.13 7.13%
1973 £116.88 9.10%
1974 £135.63 16.04%
1975 £168.50 24.24%
1976 £196.38 16.54%
1977 £227.50 15.85%
1978 £246.38 8.30%
1979 £279.38 13.39%
1980 £329.62 17.99%
1981 £368.75 11.87%
1982 £400.50 8.61%
1983 £418.88 4.59%
1984 £439.75 4.98%
1985 £466.50 6.08%
1986 £482.37 3.40%
1987 £502.50 4.17%
1988 £527.13 4.90%
1989 £568.13 7.78%
1990 £621.88 9.46%
1991 £658.38 5.87%
1992 £683.00 3.74%
1993 £693.88 1.59%
1994 £710.63 2.41%
1995 £735.25 3.47%
1996 £753.00 2.41%
1997 £776.63 3.14%
1998 £803.25 3.43%
1999 £815.63 1.54%
2000 £839.75 2.96%
2001 £854.63 1.77%
2002 £868.88 1.67%
2003 £894.00 2.89%
2004 £920.63 2.98%
2005 £946.62 2.82%
2006 £976.88 3.20%
2007 £1,018.75 4.29%
2008 £1,059.38 3.99%
2009 £1,053.75 -0.53%
2010 £1,102.38 4.61%
2011 £1,159.75 5.20%
2012 £1,197.00 3.21%
2013 £1,233.38 3.04%
2014 £1,262.50 2.36%
2015 £1,275.00 0.99%
2016 £1,296.68 1.70%
2017 £1,343.29 3.59%
2018 £1,372.84 2.20%*
* Not final. See inflation summary for latest details.

News headlines from 1971

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

  • Idi Amin declares himself president of Uganda.
  • The Nasdaq Composite stock market index debuts with fifty companies and a starting value of 100.
  • Indian troops, aided by Bengali guerrillas under Mukti Bahini, are victorious over the Pakistan army, in the battle of Garibpur.

Inflation Data Source

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: “Inflation Rate in 1971 | UK Inflation Calculator.” U.S. Official Inflation Data, Alioth Finance, 15 Jun. 2018, https://www.officialdata.org/UK-inflation-rate-in-1971.


» Read more about inflation.