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United Kingdom Real Interest Rate

Real interest rate  FR.INR.RINR

United Kingdom's real interest rate was -1.08% in 2014, ranked 5th globally. This represents a 33.5% increase from 2013. Data from World Bank, covering 1967–2014.

-1.08% +0.54pp (+33.5%)
Year 2014 Rank #5 Global Peak 7.18% (1986) Source World Bank

United Kingdom Real Interest Rate (1967–2014)

Overview

United Kingdom's real interest rate stood at -1.08% in 2014, a rise of +0.54pp from 2013. United Kingdom ranked 5th globally.

The United Kingdom’s real interest rate has averaged a modestly negative stance over the 48‑year series, standing at –1.08 % in 2014, which placed the country fifth lowest among the World Bank’s coverage set. The indicator’s historical swing is pronounced: it peaked at 7.18 % in 1986, reflecting the tight monetary environment of the mid‑1980s, before plunging to an all‑time trough of –11.46 % in 1975 amid the oil‑price shock and stagflation of the mid‑1970s. Compared with peers, the United Kingdom’s 2014 rate is more negative than Mexico’s –0.78 % and far below Macao SAR, China’s –3.20 %, illustrating a relatively accommodative stance within the sample. The long‑run trajectory suggests that future movements will hinge on the Bank of England’s response to inflation dynamics and fiscal policy; a sustained rise in price pressures could push the real rate upward, while persistent low inflation may keep it near current levels.

Data & projection

Year Real Interest Rate YoY change Rank
2014 -1.08% +0.54pp #5
2013 -1.62% −0.59pp #7
2012 -1.03% +0.90pp #10
2011 -1.93% −1.11pp #21
2010 -0.82% +0.52pp #25
2009 -1.34% −2.66pp #6
2008 1.33% −2.12pp #52
2007 3.45% +1.93pp #60
2006 1.52% −0.22pp #35
2005 1.73% +0.13pp #35
2004 1.61% +0.32pp #32
2003 1.28% −0.59pp #21
2002 1.87% −1.48pp #14
2001 3.35% −1.59pp #23
2000 4.94% +1.04pp #40
Show all years (1967-2014)

Detected Pattern

Export Boom Cycle
Current account surplus with strong export growth (>15% YoY), reserve accumulation, and moderate GDP growth. Typical of commodity exporters during price surges.
Reserves YoY +24.7% GDP growth 3.6% C/A balance 0.7%
Occurred 768 times, 546 successful
Reserves YoY
+25.6%
GDP growth
4.0%
C/A balance
14.5%
Reserves YoY
+14.6%
GDP growth
3.7%
C/A balance
2.9%
Reserves YoY
+12.8%
GDP growth
43.8%
C/A balance
16.4%
Reserves YoY
+12.6%
GDP growth
6.0%
C/A balance
0.5%
Reserves YoY
+38.3%
GDP growth
5.0%
C/A balance
1.2%
Reserves YoY
+18.0%
GDP growth
2.9%
C/A balance
3.9%

Analysis

United Kingdom matched the Export Boom Cycle pattern in 1985. Historically, 71% of countries showing this pattern (546 out of 768) saw real interest rate improve within 24 months. View full analysis →

Frequently Asked Questions

What is United Kingdom's real interest rate?▾

United Kingdom's real interest rate was -1.08% in 2014. Ranked 5th globally. This represents a 33.5% increase from the previous year.

What was the highest real interest rate in United Kingdom?▾

United Kingdom's real interest rate peaked at 7.18% in 1986.

What was the lowest real interest rate in United Kingdom?▾

The lowest real interest rate in United Kingdom was -11.46% in 1975.

How does United Kingdom rank in real interest rate?▾

United Kingdom ranks 5th globally in real interest rate as of 2014.

What is the World Bank indicator code for real interest rate?▾

The World Bank indicator code is FR.INR.RINR. Data sourced from World Bank.

What is the real interest rate of United Kingdom in 2014?▾

The real interest rate of United Kingdom in 2014 was -1.08%. This ranks 5th in the world.

Cite this page

APA
United Kingdom Real Interest Rate. HistorySaid. Retrieved November 12, 2026, from https://historysaid.com/united-kingdom/real-interest-rate/
BibTeX
@misc{historysaid_united-kingdom_real-interest-rate, title = {United Kingdom Real Interest Rate}, url = {https://historysaid.com/united-kingdom/real-interest-rate/}, publisher = {HistorySaid}, year = {2026} }
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