UK inflation rate in 1788: 4.17%

UK Inflation Calculator


UK Inflation Rate, 1788-2018 (£1)

The composite price index (CPI) in 1788 was 7.5. the Office for National Statistics uses this CPI value to track inflation on a monthly basis.

According to the Office for National Statistics composite price index, the pound experienced an average inflation rate of 2.19% per year. Prices in 2018 are 14521.2% higher than prices in 1788.

In other words, £1 in the year 1788 is equivalent in purchasing power to £146.21 in 2018, a difference of £145.21 over 230 years.

The current inflation rate in 2018 is 3.10%1. If this number holds, £1 today will be equivalent to £1.03 next year.

Inflation from 1788 to 2018
Cumulative price change 14521.22%
Average inflation rate 2.19%
Price difference (£1 base) £145.21
CPI in 1788 7.5
CPI in 2018 1096.59148

UK inflation chart from 1988 to 2017. Based on the UK Consumer Price Index.

How to calculate the inflation rate for £1 since 1788

Start with the inflation rate formula:

CPI in 2018 / CPI in 1788 * 1788 GBP value = 2018 GBP value

Then plug in historical CPI values. The UK CPI was 7.5 in the year 1788 and 1096.59148 in 2018:

1096.59148 / 7.5 * £1 = £146.21

£1 in 1788 has the same "purchasing power" as £146.21 in 2018.

News headlines from 1788

Politics and news often influence economic performance. Here's what was happening at the time:

  • The first ships of convicts sailing from England arrive in Australia, creating a penal colony
  • Captain Arthur Phillip and British colonists lift the Union Flag at Sydney Cove, Australia. This day is now celebrated as Australia Day
  • New Hampshire becomes the 9th state to ratify the US Constitution, after which the Constitution was put into effect.
  • The Russian army, under the leadership of Grigory Potemkin, Occupy Ocharov

Inflation Data Source

Raw data for these calculations comes from the composite price index published by the UK Office for National Statistics (ONS). A composite index is created by combining price data from several different published sources, both official and unofficial. The Consumer Price Index, normally used to compute inflation, has only been tracked since 1988. All inflation calculations after 1988 use the Office for National Statistics' Consumer Price Index, except for 2017, which is based on The Bank of England's forecast.

You may use the following MLA citation for this page: “Inflation Rate in 1788 | UK Inflation Calculator.” FinanceRef Inflation Calculator, Alioth Finance, 24 Apr. 2018,

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