Inflation United Kingdom 2020

Average inflation: 1.0%

Current Inflation

Inflation is low at 1.0%, below the ECB target of 2%.

Peak and Trough

The highest inflation was in January at 1.8%. The lowest inflation was in August at 0.5%.

Highest month
January: 1.8%
Lowest month
August: 0.5%
Difference
1.3 percentage points
Months with data
12 of 12

Category Insights

The highest price increase was in Communication with an average of 3.9%. The lowest price increase was in Clothing and footwear with an average of -1.4%.

Highest increase
Communication: 3.9%
Lowest increase
Clothing and footwear: -1.4%

Historical Context

Current inflation is 0.7% lower than the 5-year average of 1.7%.

5-year average
1.7%
10-year average
1.9%
All-time high (2011)
3.8%
All-time low (2015)
0.4%

Trend

Inflation shows a downward trend. Compared to 2019, inflation has fallen by +0.8 percentage point.

Change vs. previous year
-0.8 percentage points
Largest monthly swing
May: -1.2 percentage points

ECB Target

Inflation is 1.0% below the ECB target of 2.0%. Too low inflation may indicate economic weakness.

Purchasing Power

At this inflation rate, purchasing power gradually decreases. The impact on daily expenses is relatively limited.

What you could buy for €100 this year will cost approximately €101.00 next year at this inflation rate.

Multi-year trend

Monthly figures 2020

Inflation by category

Food and non-alcoholic beverages
0.7%
-0.3vs avg.
More details →
Alcoholic beverages, tobacco and narcotics
2.1%
+1.1vs avg.
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Clothing and footwear
-1.4%
-2.4vs avg.
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Housing, water, electricity, gas and other fuels
0.9%
-0.1vs avg.
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Furnishings, household equipment and maintenance
0.0%
-1.0vs avg.
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Health
2.3%
+1.3vs avg.
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Transport
0.4%
-0.6vs avg.
More details →
Communication
3.9%
+2.9vs avg.
More details →
Recreation and culture
2.0%
+1.0vs avg.
More details →
Education
2.5%
+1.5vs avg.
More details →
Restaurants and hotels
0.9%
-0.1vs avg.
More details →
Miscellaneous goods and services
1.4%
+0.4vs avg.
More details →

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

Month overview

Month Inflation Difference vs. 2019
January 1.8% 0.0
February 1.7% -0.1
March 1.5% -0.3
April 0.9% -1.1
May 0.7% -1.2
June 0.8% -1.1
July 1.1% -0.9
August 0.5% -1.2
September 0.7% -1.0
October 0.9% -0.6
November 0.6% -0.9
December 0.8% -0.6
Average 1.0%

Data source

Data from OECD. Last updated: 11/01/2026.

See also