£1 in 1923 is worth £0.99 in 1925

Value of £1 from 1923 to 1925

According to the Office for National Statistics composite price index, prices in 1925 are 0.53% lower than average prices since 1923. The British pound experienced an average deflation rate of -0.27% per year during this period, causing the real value of a pound to increase.

In other words, £1 in 1923 is equivalent in purchasing power to about £0.99 in 1925, a difference of £-0.01 over 2 years.

The 1923 inflation rate was -6.03%. The inflation rate in 1925 was 0.00%. The 1925 inflation rate is lower compared to the average inflation rate of 4.43% per year between 1925 and 2020.


Inflation from 1923 to 1925
Cumulative price change -0.53%
Average inflation rate -0.27%
Converted amount (£1 base) £0.99
Price difference (£1 base) £-0.01
CPI in 1923 18.700
CPI in 1925 18.600
Inflation in 1923 -6.03%
Inflation in 1925 0.00%

GBP Inflation since 1750
Annual Rate, the Office for National Statistics CPI
Download

Buying power of £1 in 1923

This chart shows a calculation of buying power equivalence for £1 in 1923 (price index tracking began in 1750).

For example, if you started with £1, you would need to end with £0.99 in order to "adjust" for inflation (sometimes refered to as "beating inflation").

According to the Office for National Statistics, each of these GBP amounts below is equal in terms of what it could buy at the time:

Pound inflation: 1923-1925
Year Pound Value Inflation Rate
1923 £1.00 -6.03%
1924 £0.99 -0.53%
1925 £0.99 0.00%
1926 £0.99 -0.54%
1927 £0.96 -2.70%
1928 £0.96 0.00%
1929 £0.95 -1.11%
1930 £0.93 -2.81%
1931 £0.89 -4.05%
1932 £0.87 -2.41%
1933 £0.84 -2.47%
1934 £0.84 0.00%
1935 £0.85 0.63%
1936 £0.86 0.63%
1937 £0.89 3.75%
1938 £0.90 1.20%
1939 £0.93 2.98%
1940 £1.08 16.76%
1941 £1.20 10.89%
1942 £1.28 7.14%
1943 £1.33 3.33%
1944 £1.36 2.82%
1945 £1.40 2.75%
1946 £1.44 3.05%
1947 £1.55 7.04%
1948 £1.66 7.61%
1949 £1.71 2.89%
1950 £1.76 3.13%
1951 £1.93 9.09%
1952 £2.10 9.17%
1953 £2.17 3.05%
1954 £2.21 1.98%
1955 £2.30 4.36%
1956 £2.42 5.10%
1957 £2.51 3.53%
1958 £2.59 3.20%
1959 £2.60 0.41%
1960 £2.63 1.03%
1961 £2.72 3.46%
1962 £2.83 4.33%
1963 £2.89 1.89%
1964 £2.98 3.33%
1965 £3.12 4.66%
1966 £3.25 3.94%
1967 £3.33 2.64%
1968 £3.49 4.65%
1969 £3.67 5.37%
1970 £3.91 6.40%
1971 £4.28 9.44%
1972 £4.58 7.13%
1973 £5.00 9.10%
1974 £5.80 16.04%
1975 £7.21 24.24%
1976 £8.40 16.54%
1977 £9.73 15.85%
1978 £10.54 8.30%
1979 £11.95 13.39%
1980 £14.10 17.99%
1981 £15.78 11.87%
1982 £17.13 8.61%
1983 £17.92 4.59%
1984 £18.81 4.98%
1985 £19.96 6.08%
1986 £20.64 3.40%
1987 £21.50 4.17%
1988 £22.55 4.90%
1989 £24.30 7.78%
1990 £26.60 9.46%
1991 £28.17 5.87%
1992 £29.22 3.74%
1993 £29.68 1.59%
1994 £30.40 2.41%
1995 £31.45 3.47%
1996 £32.21 2.41%
1997 £33.22 3.14%
1998 £34.36 3.43%
1999 £34.89 1.54%
2000 £35.93 2.96%
2001 £36.56 1.77%
2002 £37.17 1.67%
2003 £38.25 2.89%
2004 £39.39 2.98%
2005 £40.50 2.82%
2006 £41.79 3.20%
2007 £43.58 4.29%
2008 £45.32 3.99%
2009 £45.08 -0.53%
2010 £47.16 4.61%
2011 £49.61 5.20%
2012 £51.21 3.21%
2013 £52.76 3.04%
2014 £54.01 2.36%
2015 £54.55 0.99%
2016 £55.49 1.74%
2017 £57.48 3.58%
2018 £58.91 2.48%
2019 £59.97 1.80%
2020 £60.87 1.50%*
* Compared to previous annual rate. Not final. See inflation summary for latest 12-month trailing value.

This conversion table shows various other 1923 amounts in 1925 pounds, based on the -0.53% change in prices:

Conversion Table: Value of a pound in 1925
Initial value Equivalent value
£1 pound in 1923 £0.99 pounds in 1925
£5 pounds in 1923 £4.97 pounds in 1925
£10 pounds in 1923 £9.95 pounds in 1925
£50 pounds in 1923 £49.73 pounds in 1925
£100 pounds in 1923 £99.47 pounds in 1925
£500 pounds in 1923 £497.33 pounds in 1925
£1,000 pounds in 1923 £994.65 pounds in 1925
£5,000 pounds in 1923 £4,973.26 pounds in 1925
£10,000 pounds in 1923 £9,946.52 pounds in 1925
£50,000 pounds in 1923 £49,732.62 pounds in 1925
£100,000 pounds in 1923 £99,465.24 pounds in 1925
£500,000 pounds in 1923 £497,326.20 pounds in 1925
£1,000,000 pounds in 1923 £994,652.41 pounds in 1925

How to Calculate Inflation Rate for £1, 1923 to 1925

Our calculations use the following inflation rate formula to calculate the change in value between 1923 and 1925:

CPI in 1925 CPI in 1923
×
1923 GBP value
=
1925 GBP value

Then plug in historical CPI values. The U.K. CPI was 18.7 in the year 1923 and 18.6 in 1925:

18.618.7
×
£1
=
£0.99

£1 in 1923 has the same "purchasing power" or "buying power" as £0.99 in 1925.

To get the total inflation rate for the 2 years between 1923 and 1925, we use the following formula:

CPI in 1925 - CPI in 1923CPI in 1923
×
100
=
Cumulative inflation rate (2 years)

Plugging in the values to this equation, we get:

18.6 - 18.718.7
×
100
=
-1%

News headlines from 1923

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

  • The inner burial chamber of the Pharaoh Tutankhamun's tomb is opened, leading to the finding of the sarcophagus by Howard Carter.
  • The Disney Brothers Cartoon Studio is founded.
  • Lenin's "Political Testament" is issued which calls for Stalin's removal.
  • In Germany, 5,000 storm troopers demonstrate against the 'November crime', Hitler is arrested after seeking to take advantage of the chaotic conditions.

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: “£1 in 1923 → 1925 | UK Inflation Calculator.” Official Inflation Data, Alioth Finance, 27 May. 2020, https://www.officialdata.org/1923-GBP-in-1925?amount=1.

Special thanks to QuickChart for providing downloadable chart images.

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


Ian Webster

About the author

Ian Webster is an engineer and data expert based in San Mateo, California. He has worked for Google, NASA, and consulted for governments around the world on data pipelines and data analysis. Disappointed by the lack of clear resources on the impacts of inflation on economic indicators, Ian believes this website serves as a valuable public tool. Ian earned his degree in Computer Science from Dartmouth College.

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» Read more about inflation and investment.

Inflation from 1923 to 1925
Cumulative price change -0.53%
Average inflation rate -0.27%
Converted amount (£1 base) £0.99
Price difference (£1 base) £-0.01
CPI in 1923 18.700
CPI in 1925 18.600
Inflation in 1923 -6.03%
Inflation in 1925 0.00%