Value of 1968 British Pounds today

£100 in 1968

£1,396.87 in 2018

The inflation rate in United Kingdom between 1968 and today has been 1,296.87%, which translates into a total increase of £1,296.87. This means that 100 pounds in 1968 are equivalent to 1,396.87 pounds in 2018. In other words, the purchasing power of £100 in 1968 equals £1,396.87 today. The average annual inflation rate has been 5.31%.

Inflation timeline in United Kingdom (1968-2018)

The following chart ilustrates the equivalence of £100 throughout the years due to inflation and CPI changes. All values are equivalent in terms of purchashing power, which means that for each year the same goods or services could be bought with the indicated amount of money.

All calculations are performed in the local currency (GBP) and using 6 decimal digits. Results show only up to 2 decimal digits to favour readability. Inflation data is provided by governments and international institutions on a monthly basis. Today's values were obtained by estimating figures from recent trends.

The following table contains relevant indicators:

Indicator Value
Total Inflation (1968-2018) 1,275.9%
Total Inflation* 1,296.87%
Annual inflation avg. (1968-2018) 5.38%
Annual inflation avg.* 5.31%
CPI 1968 7.63
CPI 2018 105
CPI today* 106.6
£1 in 1968 £13.76 in 2018

* Values extrapolated from the last official data to obtain today's values.

How to calculate today's value of money after inflation?

There are several ways to calculate the time value of money. Depending on the data available, results can be obtained by using the compound interest formula or the Consumer Price Index (CPI) formula.

Using the compound interest formula

Given that money changes in time as a result of an inflation rate that acts as a compound interest, the following formula can be used: FV = PV (1 + i)n, where:

  • FV: Future Value
  • PV: Present Value
  • i: Interest rate (inflation)
  • n: Number of times the interest is compounded (i.e. # of years)

In this case, the future value represents the final amount obtained after applying the inflation rate to our initial value. In other words, it indicates how much are £100 worth today. There are 50 years between 1968 and 2018 and the average inflation rate has been 5.3062%. Therefore, we can resolve the formula like this:

FV = PV (1 + i)n = £100 * (1 + 0.05)50 = £1,375.9

Using the CPI formula

When the CPI for both start and end years is known, the following formula can be used:

Final value = Initial value *
CPI final/CPI initial

In this case, the CPI in 1968 was 7.63 and the CPI today is 106.6. Therefore,

Final value = Initial value *
CPI final/CPI initial
= £100 *
105/7.63
= £1,375.9

United Kingdom inflation - Conversion table

Initial Value Equivalent value
£1 pound in 1968 £13.97 pounds today
£5 pounds in 1968 £69.84 pounds today
£10 pounds in 1968 £139.69 pounds today
£50 pounds in 1968 £698.43 pounds today
£100 pounds in 1968 £1,396.87 pounds today
£500 pounds in 1968 £6,984.34 pounds today
£1,000 pounds in 1968 £13,968.68 pounds today
£5,000 pounds in 1968 £69,843.4 pounds today
£10,000 pounds in 1968 £139,686.79 pounds today
£50,000 pounds in 1968 £698,433.95 pounds today
£100,000 pounds in 1968 £1,396,867.91 pounds today
£500,000 pounds in 1968 £6,984,339.53 pounds today
£1,000,000 pounds in 1968 £13,968,679.06 pounds today

Value of Pound in time (by year)

Period Value
1968 100
1969 105.94
1970 110.89
1971 119.64
1972 130.45
1973 140.43
1974 155.28
1975 185
1976 231.05
1977 265.86
1978 298.14
1979 323.15
1980 378.85
1981 436.14
1982 488.68
1983 515.11
1984 542.48
1985 567.33
1986 599.35
1987 621.83
1988 644.93
1989 674.25
1990 711.56
1991 764.86
1992 820.82
1993 842.14
1994 862.13
1995 879.45
1996 906.1
1997 926.09
1998 942.08
1999 956.74
2000 967.4
2001 975.39
2002 986.05
2003 1,002.04
2004 1,015.37
2005 1,031.36
2006 1,052.23
2007 1,082.37
2008 1,107.27
2009 1,141.34
2010 1,164.93
2011 1,201.62
2012 1,244.86
2013 1,275
2014 1,299.89
2015 1,309.07
2016 1,315.62
2017 1,339.21
2018 1,375.9
Today 1,396.87