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Value of 2005 British Pounds today

£100 in 2005
£148 in 2022

The inflation rate in the United Kingdom between 2005 and today has been 48%, which translates into a total increase of £48. This means that 100 pounds in 2005 are equivalent to 148 pounds in 2022. In other words, the purchasing power of £100 in 2005 equals £148 today. The average annual inflation rate between these periods has been 2.33%.

Inflation timeline in the United Kingdom (2005 - 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 2005-2021 40.55%
Cumulative inflation 2005-today 48%
Avg. Annual inflation 2005-2021 2.15%
CPI 2005 79.4
CPI 2021 111.6
CPI 2022-03 (latest official data) 116.5
CPI today 117.51

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 2005 and 2021, use the corresponding CPI values:

Value2021
=Value2005 ×
CPI2021/CPI2005
=£ 100 ×
111.6/79.4
£140.55

To obtain the equivalent value today (present value), plug in the CPI for today, which is estimated as 117.51:

Valuetoday
=Value2005 ×
CPItoday/CPI2005
=£ 100 ×
117.51/79.4
£148

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 16 years between 2005 and 2021 and the average inflation rate was 2.1504%. Therefore, we can resolve the formula like this:

Value2021
=PV × (1 + i)n
=£100 × (1 + 0.021504)16
£140.55

UK inflation - Conversion table

Initial Value Equivalent value
£1 pound in 2005 £1.41 pounds in 2021
£5 pounds in 2005 £7.03 pounds in 2021
£10 pounds in 2005 £14.06 pounds in 2021
£50 pounds in 2005 £70.28 pounds in 2021
£100 pounds in 2005 £140.55 pounds in 2021
£500 pounds in 2005 £702.77 pounds in 2021
£1,000 pounds in 2005 £1,405.54 pounds in 2021
£5,000 pounds in 2005 £7,027.71 pounds in 2021
£10,000 pounds in 2005 £14,055.42 pounds in 2021
£50,000 pounds in 2005 £70,277.08 pounds in 2021
£100,000 pounds in 2005 £140,554.16 pounds in 2021
£500,000 pounds in 2005 £702,770.78 pounds in 2021
£1,000,000 pounds in 2005 £1,405,541.56 pounds in 2021
Cumulative inflation From 2005 48%
Avg. annual inflation From 2005 2.33%
CPI 2005 79.4
CPI today 117.51

Value of Pound over time (by year)

Period Value
2005 100
2006 102.52
2007 104.91
2008 108.56
2009 110.71
2010 113.48
2011 117.88
2012 120.91
2013 123.68
2014 125.44
2015 125.94
2016 127.2
2017 130.48
2018 133.5
2019 135.77
2020 137.15
2021 140.55
2022-03 146.73
Today 148

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: