# £1 in 1980 is worth £1.22 in 1982

£

## Value of £1 from 1980 to 1982

According to the Office for National Statistics composite price index, prices in 1982 are 21.50% higher than average prices since 1980. The British pound experienced an average inflation rate of 10.23% per year during this period, causing the real value of a pound to decrease.

In other words, £1 in 1980 is equivalent in purchasing power to about £1.22 in 1982, a difference of £0.22 over 2 years.

The 1980 inflation rate was 17.99%. The inflation rate in 1982 was 8.61%. The 1982 inflation rate is higher compared to the average inflation rate of 3.39% per year between 1982 and 2020.

 Cumulative price change 21.50% Average inflation rate 10.23% Converted amount (£1 base) £1.22 Price difference (£1 base) £0.22 CPI in 1980 263.700 CPI in 1982 320.400 Inflation in 1980 17.99% Inflation in 1982 8.61%

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

## Buying power of £1 in 1980

This chart shows a calculation of buying power equivalence for £1 in 1980 (price index tracking began in 1750).

For example, if you started with £1, you would need to end with £1.22 in order to "adjust" for inflation (sometimes refered to as "beating inflation").

When £1 is equivalent to £1.22 over time, that means that the "real value" of a single U.K. pound decreases over time. In other words, a pound will pay for fewer items at the store.

This effect explains how inflation erodes the value of a pound over time. By calculating the value in 1980 dollars, the chart below shows how £1 is worth less over 2 years.

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: 1980-1982
Year Pound Value Inflation Rate
1980 £1.00 17.99%
1981 £1.12 11.87%
1982 £1.22 8.61%
1983 £1.27 4.59%
1984 £1.33 4.98%
1985 £1.42 6.08%
1986 £1.46 3.40%
1987 £1.52 4.17%
1988 £1.60 4.90%
1989 £1.72 7.78%
1990 £1.89 9.46%
1991 £2.00 5.87%
1992 £2.07 3.74%
1993 £2.11 1.59%
1994 £2.16 2.41%
1995 £2.23 3.47%
1996 £2.28 2.41%
1997 £2.36 3.14%
1998 £2.44 3.43%
1999 £2.47 1.54%
2000 £2.55 2.96%
2001 £2.59 1.77%
2002 £2.64 1.67%
2003 £2.71 2.89%
2004 £2.79 2.98%
2005 £2.87 2.82%
2006 £2.96 3.20%
2007 £3.09 4.29%
2008 £3.21 3.99%
2009 £3.20 -0.53%
2010 £3.34 4.61%
2011 £3.52 5.20%
2012 £3.63 3.21%
2013 £3.74 3.04%
2014 £3.83 2.36%
2015 £3.87 0.99%
2016 £3.94 1.74%
2017 £4.08 3.58%
2018 £4.18 2.48%
2019 £4.25 1.80%
2020 £4.32 1.50%*
* Compared to previous annual rate. Not final. See inflation summary for latest 12-month trailing value.

This conversion table shows various other 1980 amounts in 1982 pounds, based on the 21.50% change in prices:

Conversion Table: Value of a pound in 1982
Initial value Equivalent value
£1 pound in 1980 £1.22 pounds in 1982
£5 pounds in 1980 £6.08 pounds in 1982
£10 pounds in 1980 £12.15 pounds in 1982
£50 pounds in 1980 £60.75 pounds in 1982
£100 pounds in 1980 £121.50 pounds in 1982
£500 pounds in 1980 £607.51 pounds in 1982
£1,000 pounds in 1980 £1,215.02 pounds in 1982
£5,000 pounds in 1980 £6,075.09 pounds in 1982
£10,000 pounds in 1980 £12,150.17 pounds in 1982
£50,000 pounds in 1980 £60,750.85 pounds in 1982
£100,000 pounds in 1980 £121,501.71 pounds in 1982
£500,000 pounds in 1980 £607,508.53 pounds in 1982
£1,000,000 pounds in 1980 £1,215,017.06 pounds in 1982

## How to Calculate Inflation Rate for £1, 1980 to 1982

Our calculations use the following inflation rate formula to calculate the change in value between 1980 and 1982:

CPI in 1982 CPI in 1980
×
1980 GBP value
=
1982 GBP value

Then plug in historical CPI values. The U.K. CPI was 263.7 in the year 1980 and 320.4 in 1982:

320.4263.7
×
£1
=
£1.22

£1 in 1980 has the same "purchasing power" or "buying power" as £1.22 in 1982.

To get the total inflation rate for the 2 years between 1980 and 1982, we use the following formula:

CPI in 1982 - CPI in 1980CPI in 1980
×
100
=
Cumulative inflation rate (2 years)

Plugging in the values to this equation, we get:

320.4 - 263.7263.7
×
100
=
22%

## News headlines from 1980

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

• Princess Victoria is crowned Princess of Sweden.
• Iranian protesters storm the Russian embassy in Iran.
• Abdou Diouf is elected president of Senegal after being Prime Minister for ten years.
• Cable News Network (CNN) is transmitted for the first time.
• Saddam Hussein, President of Iraq, declares a holy war on Iran.

## 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 1980 → 1982 | UK Inflation Calculator.” Official Inflation Data, Alioth Finance, 4 Jun. 2020, https://www.officialdata.org/uk/inflation/1980?amount=1&endYear=1982.

Special thanks to QuickChart for providing downloadable chart images.

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

#### 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.

 Cumulative price change 21.50% Average inflation rate 10.23% Converted amount (£1 base) £1.22 Price difference (£1 base) £0.22 CPI in 1980 263.700 CPI in 1982 320.400 Inflation in 1980 17.99% Inflation in 1982 8.61%