UK inflation rate in 1956: 5.10%

UK Inflation Calculator

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Inflation in 1956 and Its Effect on Pound Value

Purchasing power decreased by 5.10% in 1956 compared to the previous year, 1955. On average, you would have to spend 5.10% more money in 1956 than in 1955 for the same item.

In other words, £1 in 1955 is equivalent in purchasing power to £1.05 in 1956.

The 1955 inflation rate was 4.36%. The inflation rate in 1956 was 5.10%. The 1956 inflation rate is lower compared to the average inflation rate of 5.28% per year between 1956 and 2018.

Inflation rate is calculated by change in the composite price index (CPI). The CPI in 1956 was 45.3. It was 43.1 in the previous year, 1955. The difference in CPI between the years is used by the Office for National Statistics to officially determine inflation.


Inflation from 1955 to 1956
Average inflation rate 5.10%
Converted amount (£1 base) £1.05
Price difference (£1 base) £0.05
CPI in 1955 43.100
CPI in 1956 45.300
Inflation in 1955 4.36%
Inflation in 1956 5.10%


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


How to Calculate Inflation Rate for £1, 1955 to 1956

This inflation calculator uses the following inflation rate formula:

CPI in 1956CPI in 1955
×
1955 GBP value
=
1956 GBP value

Then plug in historical CPI values. The UK CPI was 43.1 in the year 1955 and 45.3 in 1956:

45.343.1
×
£1
=
£1.05

£1 in 1955 has the same "purchasing power" or "buying power" as £1.05 in 1956.

To get the total inflation rate for the 1 years between 1955 and 1956, we use the following formula:

CPI in 1956 - CPI in 1955CPI in 1955
×
100
=
Cumulative inflation rate (1 years)

Plugging in the values to this equation, we get:

45.3 - 43.143.1
×
100
=
5%

News headlines from 1955

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

  • The occupying powers grant full Sovereignty to West Germany.
  • The Mainau Declaration against nuclear weapons is signed by 18 Nobel laureates.
  • Rosa Parks is arrested in Montgomery, Alabama for refusing to give her seat to a white person and move to the back of the bus.

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 1956 | UK Inflation Calculator.” U.S. Official Inflation Data, Alioth Finance, 19 Dec. 2018, https://www.officialdata.org/UK-inflation-rate-in-1956.

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


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