# £1 in 2021 is worth £1.13 today

£

## Value of £1 from 2021 to 2022

£1 in 2021 is equivalent in purchasing power to about £1.13 today. The pound had an average inflation rate of 13.20% in the last 12 months. As a result, the real value of a pound has been decreasing recently.

This means that today's prices are 1.13 times higher than average prices since 2021, according to the Office for National Statistics composite price index. A pound today only buys 88.496% of what it could buy back then.

The inflation rate in 2021 was 2.49%. The current inflation rate compared to last year is now 13.20%. If this number holds, £1 today will be equivalent in buying power to £1.13 next year.

 Average inflation rate 13.20% Converted amount (£1 base) £1.13 Price difference (£1 base) £0.13 CPI in 2021 1,180.589 CPI in 2022 1,336.427 Inflation in 2021 2.49% Inflation in 2022 13.20% £1 in 2021 £1.13 in 2022

Recent GBP inflation
Annual Rate, the Office for National Statistics CPI

## How to calculate inflation rate for £1 since 2021

Our calculations use the following inflation rate formula to calculate the change in value between 2021 and today:

CPI today CPI in 2021
×
2021 GBP value
=
Today's value

Then plug in historical CPI values. The U.K. CPI was 1180.5889263884287 in the year 2021 and 1336.4266687599998 in 2022:

1336.42666875999981180.5889263884287
×
£1
=
£1.13

£1 in 2021 has the same "purchasing power" or "buying power" as £1.13 in 2022.

To get the total inflation rate for the 1 years between 2021 and 2022, we use the following formula:

CPI in 2022 - CPI in 2021CPI in 2021
×
100
=
Cumulative inflation rate (1 years)

Plugging in the values to this equation, we get:

1336.4266687599998 - 1180.58892638842871180.5889263884287
×
100
=
13%

## 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 2021 → 2022 | UK Inflation Calculator.” Official Inflation Data, Alioth Finance, 21 Nov. 2022, https://www.officialdata.org/uk/inflation/2021?amount=1.

Special thanks to QuickChart for their chart image API, which is used for chart downloads.

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