Inflation United Kingdom 2005

Average inflation: 2.1%

Inflation in 2005

Inflation is normal at 2.1%, around the ECB target.

Peak and Trough

The highest inflation was in September at 2.5%. The lowest inflation was in January at 1.7%.

Highest month
September: 2.5%
Lowest month
January: 1.7%
Difference
0.8 percentage points
Months with data
12 of 12

Category Insights

The highest price increase was in Education with an average of 4.9%. The lowest price increase was in Clothing and footwear with an average of -5.1%.

Highest increase
Education: 4.9%
Lowest increase
Clothing and footwear: -5.1%

Historical Context

Inflation is around the 5-year average of 1.6%.

5-year average
1.6%
10-year average
1.8%
All-time high (1990)
8%
All-time low (2000)
1.2%

Trend

Over the period 2003-2005, inflation has remained relatively stable. Compared to 2004, inflation has risen by 0.7 percentage points.

Change vs. previous year
+0.7 percentage points
Largest monthly swing
September: +1.3 percentage points

ECB Target

Inflation is close to the ECB target of 2.0%.

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 £102.10 next year at this inflation rate.

Multi-year trend

Monthly figures 2005

Inflation by category

Food and non-alcoholic beverages
1.5%
-0.6 vs avg.
Alcoholic beverages, tobacco and narcotics
2.3%
+0.2 vs avg.
Clothing and footwear
-5.1%
-7.3 vs avg.
Housing, water, electricity, gas and other fuels
3.3%
+1.2 vs avg.
Furnishings, household equipment and maintenance
-0.3%
-2.4 vs avg.
Health
2.9%
+0.8 vs avg.
Transport
4.3%
+2.2 vs avg.
Communication
-2.3%
-4.4 vs avg.
Recreation and culture
-1.2%
-3.3 vs avg.
Education
4.9%
+2.8 vs avg.
Restaurants and hotels
3.3%
+1.2 vs avg.
Miscellaneous goods and services
4.4%
+2.3 vs avg.

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

Month overview

Month Inflation Difference vs. 2004
January 1.7% +0.2
February 1.7% +0.3
March 2.0% +0.8
April 1.9% +0.8
May 1.9% +0.5
June 2.0% +0.5
July 2.3% +0.9
August 2.4% +1.0
September 2.5% +1.3
October 2.4% +1.1
November 2.2% +0.7
December 2.1% +0.3
Average 2.1%

Data source

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

See also