U.K. inflation rate in 1888: 1.16%

UK Inflation Calculator

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Inflation in 1888 and Its Effect on Pound Value

Purchasing power decreased by 1.16% in 1888 compared to 1887. On average, you would have to spend 1.16% more money in 1888 than in 1887 for the same item.

In other words, £1 in 1887 is equivalent in purchasing power to about £1.01 in 1888.

The 1887 inflation rate was -1.15%. The inflation rate in 1888 was 1.16%. The 1888 inflation rate is lower compared to the average inflation rate of 3.76% per year between 1888 and 2020.

Inflation rate is calculated by change in the composite price index (CPI). The CPI in 1888 was 8.70. It was 8.60 in the previous year, 1887. The difference in CPI between the years is used by the Office for National Statistics to officially determine inflation.

 Average inflation rate 1.16% Converted amount (£1 base) £1.01 Price difference (£1 base) £0.01 CPI in 1887 8.600 CPI in 1888 8.700 Inflation in 1887 -1.15% Inflation in 1888 1.16%

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

How to Calculate Inflation Rate for £1, 1887 to 1888

This inflation calculator uses the following inflation rate formula:

CPI in 1888CPI in 1887
×
1887 GBP value
=
1888 GBP value

Then plug in historical CPI values. The U.K. CPI was 8.6 in the year 1887 and 8.7 in 1888:

8.78.6
×
£1
=
£1.01

£1 in 1887 has the same "purchasing power" or "buying power" as £1.01 in 1888.

To get the total inflation rate for the 1 years between 1887 and 1888, we use the following formula:

CPI in 1888 - CPI in 1887CPI in 1887
×
100
=
Cumulative inflation rate (1 years)

Plugging in the values to this equation, we get:

8.7 - 8.68.6
×
100
=
1%

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

• 6-year-old Helen Keller, blind and deaf, begins classes with teacher Anne Sullivan.
• Construction begins of Eiffel Tower in Paris.
• President Abraham Lincoln is re-buried with his wife in Springfield, Illinois.

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 1888 | UK Inflation Calculator.” Official Inflation Data, Alioth Finance, 29 Mar. 2020, https://www.officialdata.org/UK-inflation-rate-in-1888.