UK inflation rate in 1971: 9.44%

UK Inflation Calculator

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UK Inflation Rate, 1971-2018 (£1)

The composite price index (CPI) in 1971 was 80. 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 5.73% per year. Prices in 2018 are 1270.7% higher than prices in 1971.

In other words, £1 in the year 1971 is equivalent in purchasing power to £13.71 in 2018, a difference of £12.71 over 47 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 1971 to 2018
Cumulative price change 1270.74%
Average inflation rate 5.73%
Price difference (£1 base) £12.71
CPI in 1971 80
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 1971

Start with the inflation rate formula:

CPI in 2018 / CPI in 1971 * 1971 GBP value = 2018 GBP value

Then plug in historical CPI values. The UK CPI was 80 in the year 1971 and 1096.59148 in 2018:

1096.59148 / 80 * £1 = £13.71

£1 in 1971 has the same "purchasing power" as £13.71 in 2018.


News headlines from 1971

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

  • Idi Amin declares himself president of Uganda.
  • The Nasdaq Composite stock market index debuts with fifty companies and a starting value of 100.
  • Indian troops, aided by Bengali guerrillas under Mukti Bahini, are victorious over the Pakistan army, in the battle of Garibpur.

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 1971 | UK Inflation Calculator.” FinanceRef Inflation Calculator, Alioth Finance, 24 Apr. 2018, http://www.in2013dollars.com/UK-inflation-rate-in-1971.


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