UK inflation rate in 1917: 25.38%

UK Inflation Calculator

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Inflation in 1917 and Its Effect on Pound Value

Purchasing power decreased by 25.38% in 1917 compared to the previous year, 1916. On average, you would have to spend 25.38% more money in 1917 than in 1916 for the same item.

In other words, £1 in 1916 is equivalent in purchasing power to £1.25 in 1917.

The 1916 inflation rate was 18.18%. The inflation rate in 1917 was 25.38%. The 1917 inflation rate is higher compared to the average inflation rate of 4.26% per year between 1917 and 2018.

Inflation rate is calculated by change in the composite price index (CPI). The CPI in 1917 was 16.3. It was 13 in the previous year, 1916. The difference in CPI between the years is used by the Office for National Statistics to officially determine inflation.


Inflation from 1916 to 1917
Average inflation rate 25.38%
Converted amount (£1 base) £1.25
Price difference (£1 base) £0.25
CPI in 1916 13.000
CPI in 1917 16.300
Inflation in 1916 18.18%
Inflation in 1917 25.38%


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


How to Calculate Inflation Rate for £1, 1916 to 1917

This inflation calculator uses the following inflation rate formula:

CPI in 1917CPI in 1916
×
1916 GBP value
=
1917 GBP value

Then plug in historical CPI values. The UK CPI was 13 in the year 1916 and 16.3 in 1917:

16.313
×
£1
=
£1.25

£1 in 1916 has the same "purchasing power" or "buying power" as £1.25 in 1917.

To get the total inflation rate for the 1 years between 1916 and 1917, we use the following formula:

CPI in 1917 - CPI in 1916CPI in 1916
×
100
=
Cumulative inflation rate (1 years)

Plugging in the values to this equation, we get:

16.3 - 1313
×
100
=
25%

News headlines from 1916

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

  • Ottoman forces successfully defend access to Constantinople, leading to ANZAC forces withdrawal from the Gallipoli Peninsula.
  • An estimated 1 million men are killed during the Battle of Verdun.
  • The Easter Rising ends after Irish republicans abandon the post office in Dublin and surrenders.
  • Tanks known as 'Little Willies' are used for the first time at the Battle of the Somme.
  • The first aerial combat in France is won by Manfred von Richthofen, known as The Red Baron, German Luftstreitkrafte flying ace.

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 1917 | UK Inflation Calculator.” U.S. Official Inflation Data, Alioth Finance, 14 Nov. 2018, https://www.officialdata.org/UK-inflation-rate-in-1917.

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


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