Inflation United Kingdom 1989
Average inflation: 5.7%
Current Inflation
Inflation is very high at 5.7%, far above the ECB target.
Peak and Trough
The highest inflation was in March at 5.9%. The lowest inflation was in August at 5.5%.
- Highest month
- March: 5.9%
- Lowest month
- August: 5.5%
- Difference
- 0.4 percentage points
- Months with data
- 12 of 12
Category Insights
The highest price increase was in Health with an average of 8.0%. The lowest price increase was in Communication with an average of 1.5%.
- Highest increase
- Health: 8.0%
- Lowest increase
- Communication: 1.5%
Historical Context
Current inflation is 1.0% higher than the 5-year average of 4.7%.
- 5-year average
- 4.7%
- 10-year average
- 7.2%
- All-time high (1975)
- 24.1%
- All-time low (1986)
- 3.4%
Trend
Inflation shows an upward trend. Compared to 1988, inflation has risen by +1.6 percentage point.
- Change vs. previous year
- +1.6 percentage points
- Largest monthly swing
- February: +2.7 percentage points
ECB Target
Inflation is 3.7% 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 €105.70 next year at this inflation rate.
Multi-year trend
Monthly figures 1989
Inflation by category
Inflation differs per product group. Click on a category for the historical trend.
Month overview
| Month | Inflation | Difference vs. 1988 |
|---|---|---|
| January | 5.7% | +2.4 |
| February | 5.8% | +2.7 |
| March | 5.9% | +2.6 |
| April | 5.6% | +2.2 |
| May | 5.9% | +2.1 |
| June | 5.8% | +1.6 |
| July | 5.7% | +1.4 |
| August | 5.5% | +0.9 |
| September | 5.7% | +0.9 |
| October | 5.8% | +0.9 |
| November | 5.7% | +0.7 |
| December | 5.8% | +0.7 |
| Average | 5.7% |
Data source
Data from OECD. Last updated: 11/01/2026.