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Value of 1998 British Pounds today

£100 in 1998
£177.02 in 2023

The inflation rate in the United Kingdom between 1998 and today has been 77.02%, which translates into a total increase of £77.02. This means that 100 pounds in 1998 are equivalent to 177.02 pounds in 2023. In other words, the purchasing power of £100 in 1998 equals £177.02 today. The average annual inflation rate between these periods has been 2.31%.

Inflation timeline in the United Kingdom (1998 - 2023)

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 1998-2022 69%
Cumulative inflation 1998-today 77.02%
Avg. Annual inflation 1998-2022 2.21%
CPI 1998 71.3
CPI 2022 120.5
CPI 2022-12 (latest official data) 125.3
CPI today 126.22

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 1998 and 2022, use the corresponding CPI values:

Value2022
=Value1998 ×
CPI2022/CPI1998
=£ 100 ×
120.5/71.3
£169

To obtain the equivalent value today (present value), plug in the CPI for today, which is estimated as 126.22:

Valuetoday
=Value1998 ×
CPItoday/CPI1998
=£ 100 ×
126.22/71.3
£177.02

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 24 years between 1998 and 2022 and the average inflation rate was 2.2106%. Therefore, we can resolve the formula like this:

Value2022
=PV × (1 + i)n
=£100 × (1 + 0.022106)24
£169

UK inflation - Conversion table

Initial Value Equivalent value
£1 pound in 1998 £1.69 pounds in 2022
£5 pounds in 1998 £8.45 pounds in 2022
£10 pounds in 1998 £16.9 pounds in 2022
£50 pounds in 1998 £84.5 pounds in 2022
£100 pounds in 1998 £169 pounds in 2022
£500 pounds in 1998 £845.02 pounds in 2022
£1,000 pounds in 1998 £1,690.04 pounds in 2022
£5,000 pounds in 1998 £8,450.21 pounds in 2022
£10,000 pounds in 1998 £16,900.42 pounds in 2022
£50,000 pounds in 1998 £84,502.1 pounds in 2022
£100,000 pounds in 1998 £169,004.21 pounds in 2022
£500,000 pounds in 1998 £845,021.04 pounds in 2022
£1,000,000 pounds in 1998 £1,690,042.08 pounds in 2022
Cumulative inflation From 1998 77.02%
Avg. annual inflation From 1998 2.31%
CPI 1998 71.3
CPI today 126.22

Value of Pound over time (by year)

Period Value
1998 100
1999 101.82
2000 102.95
2001 104.63
2002 106.17
2003 107.57
2004 109.12
2005 111.36
2006 114.17
2007 116.83
2008 120.9
2009 123.28
2010 126.37
2011 131.28
2012 134.64
2013 137.73
2014 139.69
2015 140.25
2016 141.65
2017 145.3
2018 148.67
2019 151.19
2020 152.73
2021 156.52
2022 169
2022-12 175.74
Today 177.02

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 | 2022 |

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