Inflation United Kingdom 1991

Average inflation: 7.5%

Inflation in 1991

Inflation is very high at 7.5%, far above the ECB target.

Peak and Trough

The highest inflation was in January at 8.6%. The lowest inflation was in October at 6.5%.

Highest month
January: 8.6%
Lowest month
October: 6.5%
Difference
2.1 percentage points
Months with data
12 of 12

Category Insights

The highest price increase was in Alcoholic beverages, tobacco and narcotics with an average of 13.0%. The lowest price increase was in Clothing and footwear with an average of 1.7%.

Highest increase
Alcoholic beverages, tobacco and narcotics: 13.0%
Lowest increase
Clothing and footwear: 1.7%

Historical Context

Inflation is 1.6 percentage points higher than the 5-year average of 5.9%.

5-year average
5.9%
10-year average
5.7%
All-time high (1975)
24.1%
All-time low (1986)
3.4%

Trend

Over the period 1989-1991, inflation shows an upward trend. Compared to 1990, inflation has fallen by 0.5 percentage points.

Change vs. previous year
-0.5 percentage points
Largest monthly swing
January: +2.7 percentage points

ECB Target

Inflation is 5.5 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 £107.50 next year at this inflation rate.

Multi-year trend

Monthly figures 1991

Inflation by category

Food and non-alcoholic beverages
5.3%
-2.3 vs avg.
Alcoholic beverages, tobacco and narcotics
13.0%
+5.5 vs avg.
Clothing and footwear
1.7%
-5.8 vs avg.
Housing, water, electricity, gas and other fuels
8.2%
+0.7 vs avg.
Furnishings, household equipment and maintenance
5.7%
-1.8 vs avg.
Health
10.0%
+2.5 vs avg.
Transport
7.2%
-0.3 vs avg.
Communication
8.4%
+0.9 vs avg.
Recreation and culture
6.1%
-1.4 vs avg.
Education
12.6%
+5.1 vs avg.
Restaurants and hotels
11.3%
+3.8 vs avg.
Miscellaneous goods and services
6.7%
-0.8 vs avg.

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

Month overview

Month Inflation Difference vs. 1990
January 8.6% +2.7
February 8.2% +1.9
March 8.3% +2.1
April 8.0% +0.3
May 7.5% -0.7
June 7.7% -0.5
July 7.5% -0.7
August 7.5% -1.4
September 6.9% -2.3
October 6.5% -2.7
November 6.5% -2.7
December 6.5% -2.7
Average 7.5%

Data source

Data from OECD. Last updated: 13/01/2026.

See also