£

Value of 1971 British Pounds today

£100 in 1971
£1,331.06 in 2022

The inflation rate in the United Kingdom between 1971 and today has been 1,231.06%, which translates into a total increase of £1,231.06. This means that 100 pounds in 1971 are equivalent to 1,331.06 pounds in 2022. In other words, the purchasing power of £100 in 1971 equals £1,331.06 today. The average annual inflation rate between these periods has been 5.21%.

Inflation timeline in the United Kingdom (1971 - 2022)

The following chart depicts the equivalence of £100 due to compound inflation and CPI changes. All values are equivalent in terms of purchasing 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 extrapolated from the latest 12-month rolling average official data.

The following table contains relevant indicators:

Indicator Value
Cumulative inflation 1971-2021 1,112.17%
Cumulative inflation 1971-today 1,231.06%
Avg. Annual inflation 1971-2021 5.12%
CPI 1971 9.21
CPI 2021 111.6
CPI 2022-08 (latest official data) 121.8
CPI today 122.55

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 Consumer Price Index (CPI) formula or the compound interest formula.

Using the CPI formula

When we have both the start and end years, we can use the following formula:

Valuet =Value0 ×
CPIt/CPI0

To obtain the values equivalent in buying power between 1971 and 2021, use the corresponding CPI values:

Value2021
=Value1971 ×
CPI2021/CPI1971
=£ 100 ×
111.6/9.21
£1,212.17

To obtain the equivalent value today (present value), plug in the CPI for today, which is estimated as 122.55:

Valuetoday
=Value1971 ×
CPItoday/CPI1971
=£ 100 ×
122.55/9.21
£1,331.06

Alternative: Using the compound interest formula

Given that money changes with time as a result of an inflation rate that acts as compound interest, we can use the following formula: 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 1971 and 2021 and the average inflation rate was 5.1166%. Therefore, we can resolve the formula like this:

Value2021
=PV × (1 + i)n
=£100 × (1 + 0.051166)50
£1,212.17

UK inflation - Conversion table

Initial Value Equivalent value
£1 pound in 1971 £12.12 pounds in 2021
£5 pounds in 1971 £60.61 pounds in 2021
£10 pounds in 1971 £121.22 pounds in 2021
£50 pounds in 1971 £606.08 pounds in 2021
£100 pounds in 1971 £1,212.17 pounds in 2021
£500 pounds in 1971 £6,060.85 pounds in 2021
£1,000 pounds in 1971 £12,121.69 pounds in 2021
£5,000 pounds in 1971 £60,608.46 pounds in 2021
£10,000 pounds in 1971 £121,216.93 pounds in 2021
£50,000 pounds in 1971 £606,084.63 pounds in 2021
£100,000 pounds in 1971 £1,212,169.27 pounds in 2021
£500,000 pounds in 1971 £6,060,846.34 pounds in 2021
£1,000,000 pounds in 1971 £12,121,692.67 pounds in 2021
Cumulative inflation From 1971 1,231.06%
Avg. annual inflation From 1971 5.21%
CPI 1971 9.21
CPI today 122.55

Value of Pound over time (by year)

Period Value
1971 100
1972 107.07
1973 116.92
1974 135.68
1975 168.52
1976 196.42
1977 227.54
1978 246.34
1979 279.4
1980 329.6
1981 368.75
1982 400.45
1983 418.91
1984 439.69
1985 466.39
1986 482.37
1987 502.39
1988 523.54
1989 553.95
1990 598.48
1991 643.01
1992 672.34
1993 689.72
1994 704.93
1995 723.39
1996 744.03
1997 760.32
1998 774.44
1999 788.56
2000 797.25
2001 810.29
2002 822.23
2003 833.09
2004 845.04
2005 862.42
2006 884.14
2007 904.78
2008 936.28
2009 954.75
2010 978.64
2011 1,016.66
2012 1,042.73
2013 1,066.62
2014 1,081.83
2015 1,086.17
2016 1,097.03
2017 1,125.28
2018 1,151.34
2019 1,170.89
2020 1,182.84
2021 1,212.17
2022-08 1,322.96
Today 1,331.06

All available years

Today's value of british pounds by year:

1956 | 1957 | 1958 | 1959 | 1960 | 1961 | 1962 | 1963 | 1964 | 1965 | 1966 | 1967 | 1968 | 1969 | 1970 | 1971 | 1972 | 1973 | 1974 | 1975 | 1976 | 1977 | 1978 | 1979 | 1980 | 1981 | 1982 | 1983 | 1984 | 1985 | 1986 | 1987 | 1988 | 1989 | 1990 | 1991 | 1992 | 1993 | 1994 | 1995 | 1996 | 1997 | 1998 | 1999 | 2000 | 2001 | 2002 | 2003 | 2004 | 2005 | 2006 | 2007 | 2008 | 2009 | 2010 | 2011 | 2012 | 2013 | 2014 | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 |

Other currencies: