Inflation United Kingdom 1985

Average inflation: 6.1%

Inflation in 1985

Inflation is very high at 6.1%, far above the ECB target.

Peak and Trough

The highest inflation was in May at 7.0%. The lowest inflation was in January at 5.0%.

Highest month
May: 7.0%
Lowest month
January: 5.0%
Difference
2.0 percentage points
Months with data
12 of 12

Historical Context

Inflation is 1.2 percentage points lower than the 5-year average of 7.3%.

5-year average
7.3%
10-year average
10.9%
All-time high (1975)
24.1%
All-time low (1967)
2.5%

Trend

Over the period 1983-1985, inflation shows an upward trend. Compared to 1984, inflation has risen by 1.1 percentage points.

Change vs. previous year
+1.1 percentage points
Largest monthly swing
July: +2.4 percentage points

ECB Target

Inflation is 4.1 percentage points above the ECB target of 2.0%. This means purchasing power is declining faster than intended.

Purchasing Power

At this high inflation rate, purchasing power rapidly decreases. This has a major impact on households, especially without adequate salary increases.

What you could buy for £100 this year will cost approximately £106.10 next year at this inflation rate.

Multi-year trend

Monthly figures 1985

Inflation by category

Food and non-alcoholic beverages
4.0%
-2.1 vs avg.

Inflation differs per product group. Click on a category for the historical trend.

Month overview

Month Inflation Difference vs. 1984
January 5.0% -0.1
February 5.4% +0.3
March 6.1% +0.9
April 6.9% +1.7
May 7.0% +1.9
June 7.0% +1.9
July 6.9% +2.4
August 6.2% +1.2
September 5.9% +1.2
October 5.4% +0.4
November 5.4% +0.5
December 5.6% +1.0
Average 6.1%

Data source

Data from OECD. Last updated: 17/12/2025.

See also