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Inflation calculator - British Pound

£50 in 1960
£1,065.75 in 2022

The inflation rate in the United Kingdom between 1960 and 2022 was 2,031.51%, which translates into a total increase of £1,015.75. This means that 50 pounds in 1960 are equivalent to 1,065.75 pounds in 2022. In other words, the purchasing power of £50 in 1960 equals £1,065.75 in 2022. The average annual inflation rate between these periods was 5.06%.

Inflation timeline in the United Kingdom (1960 - 2022)

The following chart depicts the equivalence of £50 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.

The following table contains relevant indicators:

Indicator Value
Cumulative inflation from 1960 to 2022 2,031.51%
Avg. Annual inflation from 1960 to 2022 5.06%
CPI 1960 5.65
CPI 2022 120.5

How to calculate the time value of money with inflation data?

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 1960 and 2022, use the corresponding CPI values:

Value2022
=Value1960 ×
CPI2022/CPI1960
=£ 50 ×
120.5/5.65
£1,065.75

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 £50 worth today. There are 62 years between 1960 and 2022 and the average inflation rate was 5.0583%. Therefore, we can resolve the formula like this:

Value2022
=PV × (1 + i)n
=£50 × (1 + 0.050583)62
£1,065.75

UK inflation - Conversion table

Initial Value Equivalent value
£1 pound in 1960 £21.32 pounds in 2022
£5 pounds in 1960 £106.58 pounds in 2022
£10 pounds in 1960 £213.15 pounds in 2022
£50 pounds in 1960 £1,065.75 pounds in 2022
£100 pounds in 1960 £2,131.51 pounds in 2022
£500 pounds in 1960 £10,657.54 pounds in 2022
£1,000 pounds in 1960 £21,315.08 pounds in 2022
£5,000 pounds in 1960 £106,575.41 pounds in 2022
£10,000 pounds in 1960 £213,150.82 pounds in 2022
£50,000 pounds in 1960 £1,065,754.11 pounds in 2022
£100,000 pounds in 1960 £2,131,508.22 pounds in 2022
£500,000 pounds in 1960 £10,657,541.1 pounds in 2022
£1,000,000 pounds in 1960 £21,315,082.2 pounds in 2022
Cumulative inflation 1960-2022 2,031.51%
Avg. annual inflation 1960-2022 5.06%
CPI 1960 5.65
CPI 2022 120.5

Value of Pound over time (by year)

Period Value
1960 50
1961 51.72
1962 53.89
1963 54.98
1964 56.79
1965 59.5
1966 61.82
1967 63.36
1968 66.33
1969 69.95
1970 74.4
1971 81.43
1972 87.19
1973 95.2
1974 110.48
1975 137.22
1976 159.94
1977 185.28
1978 200.59
1979 227.51
1980 268.39
1981 300.26
1982 326.08
1983 341.11
1984 358.03
1985 379.77
1986 392.79
1987 409.08
1988 426.3
1989 451.07
1990 487.33
1991 523.59
1992 547.47
1993 561.62
1994 574
1995 589.04
1996 605.84
1997 619.11
1998 630.61
1999 642.11
2000 649.18
2001 659.79
2002 669.52
2003 678.37
2004 688.1
2005 702.25
2006 719.94
2007 736.74
2008 762.39
2009 777.43
2010 796.88
2011 827.84
2012 849.07
2013 868.52
2014 880.91
2015 884.44
2016 893.29
2017 916.28
2018 937.51
2019 953.43
2020 963.16
2021 987.04
2022 1,065.75

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 | 2023 |

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