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Value of 1996 British Pounds today

£100 in 1996
£175.99 in 2022

The inflation rate in the United Kingdom between 1996 and today has been 75.99%, which translates into a total increase of £75.99. This means that 100 pounds in 1996 are equivalent to 175.99 pounds in 2022. In other words, the purchasing power of £100 in 1996 equals £175.99 today. The average annual inflation rate between these periods has been 2.2%.

Inflation timeline in the United Kingdom (1996 - 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 1996-2021 62.92%
Cumulative inflation 1996-today 75.99%
Avg. Annual inflation 1996-2021 1.97%
CPI 1996 68.5
CPI 2021 111.6
CPI 2022-04 (latest official data) 119
CPI today 120.55

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 1996 and 2021, use the corresponding CPI values:

Value2021
=Value1996 ×
CPI2021/CPI1996
=£ 100 ×
111.6/68.5
£162.92

To obtain the equivalent value today (present value), plug in the CPI for today, which is estimated as 120.55:

Valuetoday
=Value1996 ×
CPItoday/CPI1996
=£ 100 ×
120.55/68.5
£175.99

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 25 years between 1996 and 2021 and the average inflation rate was 1.9715%. Therefore, we can resolve the formula like this:

Value2021
=PV × (1 + i)n
=£100 × (1 + 0.019715)25
£162.92

UK inflation - Conversion table

Initial Value Equivalent value
£1 pound in 1996 £1.63 pounds in 2021
£5 pounds in 1996 £8.15 pounds in 2021
£10 pounds in 1996 £16.29 pounds in 2021
£50 pounds in 1996 £81.46 pounds in 2021
£100 pounds in 1996 £162.92 pounds in 2021
£500 pounds in 1996 £814.6 pounds in 2021
£1,000 pounds in 1996 £1,629.2 pounds in 2021
£5,000 pounds in 1996 £8,145.99 pounds in 2021
£10,000 pounds in 1996 £16,291.97 pounds in 2021
£50,000 pounds in 1996 £81,459.85 pounds in 2021
£100,000 pounds in 1996 £162,919.71 pounds in 2021
£500,000 pounds in 1996 £814,598.54 pounds in 2021
£1,000,000 pounds in 1996 £1,629,197.08 pounds in 2021
Cumulative inflation From 1996 75.99%
Avg. annual inflation From 1996 2.2%
CPI 1996 68.5
CPI today 120.55

Value of Pound over time (by year)

Period Value
1996 100
1997 102.19
1998 104.09
1999 105.99
2000 107.15
2001 108.91
2002 110.51
2003 111.97
2004 113.58
2005 115.91
2006 118.83
2007 121.61
2008 125.84
2009 128.32
2010 131.53
2011 136.64
2012 140.15
2013 143.36
2014 145.4
2015 145.99
2016 147.45
2017 151.24
2018 154.74
2019 157.37
2020 158.98
2021 162.92
2022-04 173.72
Today 175.99

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 |

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