UK Inflation Calculator — What Was £X Worth?
Updated: 2025 | Data sources: ONS CPI data
Calculate how inflation has eroded purchasing power and what a historical amount is worth in today's money.
UK Inflation Explained
Inflation measures how much prices rise over time. The UK's headline measure is the Consumer Prices Index (CPI), published monthly by the Office for National Statistics (ONS). When inflation is 3%, something costing £100 today will cost £103 in a year. Over decades, even moderate inflation significantly erodes purchasing power.
UK Inflation History
UK inflation averaged around 2.8% per year from 1990-2025. There have been notable spikes: inflation hit 11.1% in October 2022 (the highest in 41 years) driven by energy prices and supply chain disruptions following COVID-19. The Bank of England targets 2% CPI inflation.
Protecting Against Inflation
To protect the real value of your money: invest in assets that historically beat inflation (equities, property), use inflation-linked savings products (index-linked gilts, NS&I Premium Bonds), or hold assets in a Stocks and Shares ISA which grows tax-free.