£1 in 2019 is equivalent in purchasing power to about £1.01 today. The pound had an average inflation rate of 1.50% in the last 12 months. As a result, the real value of a pound has been decreasing recently. Purchasing power decreased by 1.50% in 2020 compared to 2019. On average, you would have to spend 1.50% more money in 2020 than in 2019 for the same item.

This means that today's prices are 1.02 times higher than average prices since 2019, according to the Office for National Statistics composite price index. A pound today only buys 99.01% of what it could buy back then.

The 2019 inflation rate was 1.80%. The current year-over-year inflation rate (2019 to 2020) is now 1.50%^{1}.
If this number holds, £1 today will be equivalent in buying power to £1.01 next year.

Inflation rate is calculated by change in the composite price index (CPI). The CPI in 2020 is 1,138.24. It was 1,121.42 in the previous year, 2019. The difference in CPI between the years is used by the Office for National Statistics to officially determine inflation.

⌃

Average inflation rate | 1.50% |

Converted amount (£1 base) | £1.01 |

Price difference (£1 base) | £0.01 |

CPI in 2019 | 1,121.422 |

CPI in 2020 | 1,138.243 |

Inflation in 2019 | 1.80% |

Inflation in 2020 | 1.50% |

£1 in 2019 | £1.01 in 2020 |

Our calculations use the following inflation rate formula to calculate the change in value between 2019 and today:

CPI today
CPI in 2019

×

2019 GBP value

=

Today's value

Then plug in historical CPI values. The U.K. CPI was 1121.4220303 in the year 2019 and 1138.2433607545 in 2020:

1138.24336075451121.4220303

×

£1

=

£1 in 2019 has the same "purchasing power" or "buying power" as £1.01 in 2020.

To get the total inflation rate for the 1 years between 2019 and 2020, we use the following formula:

CPI in 2020 - CPI in 2019CPI in 2019

×

100

=

Plugging in the values to this equation, we get:

1138.2433607545 - 1121.42203031121.4220303

×

100

=

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 2020 | UK Inflation Calculator.” Official Inflation Data, Alioth Finance, 25 Feb. 2021, https://www.officialdata.org/UK-inflation-rate-in-2020.

Special thanks to QuickChart for their chart image API, which is used for chart downloads.

Average inflation rate | 1.50% |

Converted amount (£1 base) | £1.01 |

Price difference (£1 base) | £0.01 |

CPI in 2019 | 1,121.422 |

CPI in 2020 | 1,138.243 |

Inflation in 2019 | 1.80% |

Inflation in 2020 | 1.50% |

£1 in 2019 | £1.01 in 2020 |