£1 in 1940 is equivalent in purchasing power to about £1.23 in 1943, an increase of £0.23 over 3 years. The pound had an average inflation rate of 7.08% per year between 1940 and 1943, producing a cumulative price increase of 22.77%.

This means that prices in 1943 are 1.23 times higher than average prices since 1940, according to the Office for National Statistics composite price index.

The 1940 inflation rate was 16.76%. The inflation rate in 1943 was 3.33%. The 1943 inflation rate is lower compared to the average inflation rate of 5.05% per year between 1943 and 2021.

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Cumulative price change | 22.77% |

Average inflation rate | 7.08% |

Converted amount (£1 base) | £1.23 |

Price difference (£1 base) | £0.23 |

CPI in 1940 | 20.200 |

CPI in 1943 | 24.800 |

Inflation in 1940 | 16.76% |

Inflation in 1943 | 3.33% |

£1 in 1940 | £1.23 in 1943 |

This chart shows a calculation of buying power equivalence for £1 in 1940 (price index tracking began in 1750).

For example, if you started with £1, you would need to end with £1.23 in order to "adjust" for inflation (sometimes refered to as "beating inflation").

When £1 is equivalent to £1.23 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 1940 dollars, the chart below shows how £1 is worth less over 3 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:

This conversion table shows various other 1940 amounts in 1943 pounds, based on the 22.77% change in prices:

Initial value | Equivalent value |
---|---|

£1 pound in 1940 | £1.23 pounds in 1943 |

£5 pounds in 1940 | £6.14 pounds in 1943 |

£10 pounds in 1940 | £12.28 pounds in 1943 |

£50 pounds in 1940 | £61.39 pounds in 1943 |

£100 pounds in 1940 | £122.77 pounds in 1943 |

£500 pounds in 1940 | £613.86 pounds in 1943 |

£1,000 pounds in 1940 | £1,227.72 pounds in 1943 |

£5,000 pounds in 1940 | £6,138.61 pounds in 1943 |

£10,000 pounds in 1940 | £12,277.23 pounds in 1943 |

£50,000 pounds in 1940 | £61,386.14 pounds in 1943 |

£100,000 pounds in 1940 | £122,772.28 pounds in 1943 |

£500,000 pounds in 1940 | £613,861.39 pounds in 1943 |

£1,000,000 pounds in 1940 | £1,227,722.77 pounds in 1943 |

Our calculations use the following inflation rate formula to calculate the change in value between 1940 and 1943:

CPI in 1943
CPI in 1940

×

1940 GBP value

=

1943 GBP value

Then plug in historical CPI values. The U.K. CPI was 20.2 in the year 1940 and 24.8 in 1943:

24.820.2

×

£1

=

£1 in 1940 has the same "purchasing power" or "buying power" as £1.23 in 1943.

To get the total inflation rate for the 3 years between 1940 and 1943, we use the following formula:

CPI in 1943 - CPI in 1940CPI in 1940

×

100

=

Plugging in the values to this equation, we get:

24.8 - 20.220.2

×

100

=

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 1940 → 1943 | UK Inflation Calculator.” Official Inflation Data, Alioth Finance, 16 Oct. 2021, https://www.officialdata.org/uk/inflation/1940?amount=1&endYear=1943.

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.

Cumulative price change | 22.77% |

Average inflation rate | 7.08% |

Converted amount (£1 base) | £1.23 |

Price difference (£1 base) | £0.23 |

CPI in 1940 | 20.200 |

CPI in 1943 | 24.800 |

Inflation in 1940 | 16.76% |

Inflation in 1943 | 3.33% |

£1 in 1940 | £1.23 in 1943 |