UK inflation rate in 1843: -11.00%

UK Inflation Calculator

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Inflation in 1843 and Its Effect on Pound Value

Purchasing power increased by 11.00% in 1843 compared to the previous year, 1842. On average, you would have to spend 11.00% less money in 1843 than in 1842 for the same item. This is an example of deflation.

In other words, £1 in 1842 is equivalent in purchasing power to £0.89 in 1843.

The 1842 inflation rate was -8.26%. The inflation rate in 1843 was -11.00%. The 1843 inflation rate is lower compared to the average inflation rate of 2.79% per year between 1843 and 2018.

Inflation rate is calculated by change in the composite price index (CPI). The CPI in 1843 was 8.9. It was 10 in the previous year, 1842. The difference in CPI between the years is used by the Office for National Statistics to officially determine inflation. Because the 1843 CPI is less than 1842 CPI, negative inflation (also known as deflation) has occurred.


Inflation from 1842 to 1843
Average inflation rate -11.00%
Converted amount (£1 base) £0.89
Price difference (£1 base) £-0.11
CPI in 1842 10.000
CPI in 1843 8.900
Inflation in 1842 -8.26%
Inflation in 1843 -11.00%


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


How to Calculate Inflation Rate for £1, 1842 to 1843

This inflation calculator uses the following inflation rate formula:

CPI in 1843CPI in 1842
×
1842 GBP value
=
1843 GBP value

Then plug in historical CPI values. The UK CPI was 10 in the year 1842 and 8.9 in 1843:

8.910
×
£1
=
£0.89

£1 in 1842 has the same "purchasing power" or "buying power" as £0.89 in 1843.

To get the total inflation rate for the 1 years between 1842 and 1843, we use the following formula:

CPI in 1843 - CPI in 1842CPI in 1842
×
100
=
Cumulative inflation rate (1 years)

Plugging in the values to this equation, we get:

8.9 - 1010
×
100
=
-11%

News headlines from 1842

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

  • A British surgeon, Dr William Brydon, became famous for being the only survivor of an entire army, 16,500 men strong, during the first Afghan War.
  • Regent of the Emperor of Ethiopia, Ras Ali Alula defeats Wube Haile Maryam of Semien in the Debre Tabor Battle
  • America Declares the Second Seminole War against Indians, which was to remove them from Florida and Oklahoma.
  • The Opium War ends after,Great Britain and China,sign the treaty of Nanking.

Data Source & Citation

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 1843 | UK Inflation Calculator.” U.S. Official Inflation Data, Alioth Finance, 13 Dec. 2018, https://www.officialdata.org/UK-inflation-rate-in-1843.

in2013dollars.com is a reference website maintained by the Official Data Foundation.


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