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Value of 1979 British Pounds today

£100 in 1979
£485.88 in 2022

The inflation rate in the United Kingdom between 1979 and today has been 385.88%, which translates into a total increase of £385.88. This means that 100 pounds in 1979 are equivalent to 485.88 pounds in 2022. In other words, the purchasing power of £100 in 1979 equals £485.88 today. The average annual inflation rate between these periods has been 3.74%.

Inflation timeline in the United Kingdom (1979 - 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 1979-2021 333.84%
Cumulative inflation 1979-today 385.88%
Avg. Annual inflation 1979-2021 3.56%
CPI 1979 25.72
CPI 2021 111.6
CPI 2022-10 (latest official data) 124.3
CPI today 124.99

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 1979 and 2021, use the corresponding CPI values:

Value2021
=Value1979 ×
CPI2021/CPI1979
=£ 100 ×
111.6/25.72
£433.84

To obtain the equivalent value today (present value), plug in the CPI for today, which is estimated as 124.99:

Valuetoday
=Value1979 ×
CPItoday/CPI1979
=£ 100 ×
124.99/25.72
£485.88

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 42 years between 1979 and 2021 and the average inflation rate was 3.5558%. Therefore, we can resolve the formula like this:

Value2021
=PV × (1 + i)n
=£100 × (1 + 0.035558)42
£433.84

UK inflation - Conversion table

Initial Value Equivalent value
£1 pound in 1979 £4.34 pounds in 2021
£5 pounds in 1979 £21.69 pounds in 2021
£10 pounds in 1979 £43.38 pounds in 2021
£50 pounds in 1979 £216.92 pounds in 2021
£100 pounds in 1979 £433.84 pounds in 2021
£500 pounds in 1979 £2,169.21 pounds in 2021
£1,000 pounds in 1979 £4,338.42 pounds in 2021
£5,000 pounds in 1979 £21,692.12 pounds in 2021
£10,000 pounds in 1979 £43,384.23 pounds in 2021
£50,000 pounds in 1979 £216,921.17 pounds in 2021
£100,000 pounds in 1979 £433,842.35 pounds in 2021
£500,000 pounds in 1979 £2,169,211.73 pounds in 2021
£1,000,000 pounds in 1979 £4,338,423.47 pounds in 2021
Cumulative inflation From 1979 385.88%
Avg. annual inflation From 1979 3.74%
CPI 1979 25.72
CPI today 124.99

Value of Pound over time (by year)

Period Value
1979 100
1980 117.97
1981 131.98
1982 143.32
1983 149.93
1984 157.37
1985 166.92
1986 172.64
1987 179.81
1988 187.38
1989 198.26
1990 214.2
1991 230.14
1992 240.63
1993 246.85
1994 252.3
1995 258.91
1996 266.29
1997 272.12
1998 277.18
1999 282.23
2000 285.34
2001 290.01
2002 294.28
2003 298.17
2004 302.45
2005 308.67
2006 316.44
2007 323.83
2008 335.1
2009 341.71
2010 350.26
2011 363.87
2012 373.2
2013 381.75
2014 387.19
2015 388.75
2016 392.64
2017 402.74
2018 412.07
2019 419.07
2020 423.35
2021 433.84
2022-10 483.21
Today 485.88

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: