Inflation United Kingdom 1988

Average inflation: 4.1%

Current Inflation

Inflation is high at 4.1%, well above the ECB target.

Peak and Trough

The highest inflation was in December at 5.1%. The lowest inflation was in February at 3.1%.

Highest month
December: 5.1%
Lowest month
February: 3.1%
Difference
2.0 percentage points
Months with data
12 of 12

Category Insights

The highest price increase was in Food and non-alcoholic beverages with an average of 3.4%. The lowest price increase was in Food and non-alcoholic beverages with an average of 3.4%.

Highest increase
Food and non-alcoholic beverages: 3.4%
Lowest increase
Food and non-alcoholic beverages: 3.4%

Historical Context

Current inflation is around the 5-year average of 4.6%.

5-year average
4.6%
10-year average
7.9%
All-time high (1975)
24.1%
All-time low (1986)
3.4%

Trend

Inflation has remained relatively stable. Compared to 1987, the difference is minimal (-0.1 percentage point).

Change vs. previous year
-0.1 percentage points
Largest monthly swing
December: +1.4 percentage points

ECB Target

Inflation is 2.1% above the ECB target of 2.0%. This means purchasing power is declining faster than intended.

Purchasing Power

At this inflation rate, purchasing power noticeably decreases. Without a salary increase, you can buy less with the same money.

What you could buy for €100 this year will cost approximately €104.10 next year at this inflation rate.

Multi-year trend

Monthly figures 1988

Inflation by category

Food and non-alcoholic beverages
3.4%
-0.7vs avg.
More details →

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

Month overview

Month Inflation Difference vs. 1987
January 3.3% -0.7
February 3.1% -0.8
March 3.3% -0.7
April 3.4% -0.8
May 3.8% -0.4
June 4.2% 0.0
July 4.3% -0.1
August 4.6% +0.2
September 4.8% +0.6
October 4.9% +0.4
November 5.0% +0.9
December 5.1% +1.4
Average 4.1%

Data source

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

See also