Comparison
Cash vs stocks vs gold: what beat inflation since 1985
Cash at the Bank of England’s rate and at US Treasury bill rates, against the S&P 500 and gold, from January 1985. The cash figures are a saver’s best case: the full rate, compounded monthly, before tax.
- S&P 500 since 1985, real £ +980% 5.9% a year
- Gold since 1985, real £ +261% 3.1% a year
- UK cash since 1985, real £ +120% 1.9% a year
- UK cash since 2010, real £ −22.4% −1.5% a year
Key takeaways
- In pounds after UK inflation since Jan 1985: the S&P 500 +980%, gold +261%, UK cash +120% and US cash −3.7%.
- Since 2010, cash earning the full Bank Rate is down 22.4% after UK inflation.
- Across 381 rolling 10-year windows since 1985, UK cash beat the S&P 500 after UK inflation in 87 (23%).
- £10,000 in each at the end of 1999 is now about £63,395 in the S&P 500, £185,779 in gold and £19,512 in cash, before inflation.
- Against US money printing since Jan 1985, US cash at T-bill rates is down 62.0%.
Side by side, Jan 1985 to Sep 2026
Every lens over the months all of them have. The highlighted column follows the lens you choose below.
| Asset | $ nominal | £ nominal | Real $ (US CPI) | Real £ (UK CPI) | vs US M2 |
|---|---|---|---|---|---|
| S&P 500 SPX | +4,160% 9.4% a year | +3,530% 9.0% a year | +1,242% 6.4% a year | +980% 5.9% a year | +326% 3.5% a year |
| Gold XAU | +1,325% 6.6% a year | +1,115% 6.2% a year | +349% 3.7% a year | +261% 3.1% a year | +42.4% 0.9% a year |
| UK cash (Bank Rate) Bank Rate | +766% 5.3% a year | +638% 4.9% a year | +173% 2.4% a year | +120% 1.9% a year | −13.5% −0.3% a year |
| US cash (3-month T-bills) T-bill | +280% 3.3% a year | +224% 2.9% a year | +19.7% 0.4% a year | −3.7% −0.1% a year | −62.0% −2.3% a year |
Growth of 100 in the lens you choose
Each line starts at 100. Switch the lens to see the same holdings in pounds, after inflation or against money printing.
- S&P 5001,342
- Gold448.9
- UK cash (Bank Rate)272.7
- US cash (3-month T-bills)119.7
- Sep 2026
Loading the chart. Every figure is also in the tables below.
Every period
Shorter windows first. All five lenses are in the page; the one you choose is shown.
Every period in US dollars, not adjusted
| Period | S&P 500 | Gold | UK cash (Bank Rate) | US cash (3-month T-bills) |
|---|---|---|---|---|
| Past year from Sep 2025 | +14.4% 14.4% a year | +17.7% 17.7% a year | +2.5% 2.5% a year | +3.7% 3.7% a year |
| 5 years from Sep 2021 | +77.6% 12.2% a year | +143% 19.5% a year | +18.3% 3.4% a year | +20.8% 3.8% a year |
| Since 2020 from Dec 2019 | +137% 13.6% a year | +192% 17.2% a year | +20.4% 2.8% a year | +21.2% 2.9% a year |
| 10 years from Sep 2016 | +253% 13.4% a year | +225% 12.5% a year | +24.9% 2.2% a year | +27.5% 2.5% a year |
| Since 2010 from Dec 2009 | +586% 12.2% a year | +281% 8.3% a year | +4.0% 0.2% a year | +28.3% 1.5% a year |
| 20 years from Sep 2006 | +473% 9.1% a year | +622% 10.4% a year | +1.3% 0.1% a year | +37.7% 1.6% a year |
| Since 2000 from Dec 1999 | +421% 6.4% a year | +1,426% 10.7% a year | +60.3% 1.8% a year | +67.9% 2.0% a year |
| Since Jan 1985 from Jan 1985 | +4,160% 9.4% a year | +1,325% 6.6% a year | +766% 5.3% a year | +280% 3.3% a year |
Every period in pounds sterling, not adjusted
| Period | S&P 500 | Gold | UK cash (Bank Rate) | US cash (3-month T-bills) |
|---|---|---|---|---|
| Past year from Sep 2025 | +15.9% 15.9% a year | +19.3% 19.3% a year | +3.9% 3.9% a year | +5.1% 5.1% a year |
| 5 years from Sep 2021 | +80.3% 12.5% a year | +147% 19.8% a year | +20.1% 3.7% a year | +22.6% 4.2% a year |
| Since 2020 from Dec 2019 | +137% 13.6% a year | +192% 17.2% a year | +20.5% 2.8% a year | +21.2% 2.9% a year |
| 10 years from Sep 2016 | +246% 13.2% a year | +219% 12.3% a year | +22.5% 2.1% a year | +25.1% 2.3% a year |
| Since 2010 from Dec 2009 | +736% 13.5% a year | +364% 9.6% a year | +26.7% 1.4% a year | +56.3% 2.7% a year |
| 20 years from Sep 2006 | +708% 11.0% a year | +919% 12.3% a year | +42.9% 1.8% a year | +94.3% 3.4% a year |
| Since 2000 from Dec 1999 | +534% 7.1% a year | +1,758% 11.5% a year | +95.1% 2.5% a year | +104% 2.7% a year |
| Since Jan 1985 from Jan 1985 | +3,530% 9.0% a year | +1,115% 6.2% a year | +638% 4.9% a year | +224% 2.9% a year |
Every period in US dollars after US inflation (CPI)
| Period | S&P 500 | Gold | UK cash (Bank Rate) | US cash (3-month T-bills) |
|---|---|---|---|---|
| Past year from Sep 2025 | +10.9% 10.9% a year | +14.2% 14.2% a year | −0.6% −0.6% a year | +0.6% 0.6% a year |
| 5 years from Sep 2021 | +45.5% 7.8% a year | +99.3% 14.8% a year | −3.1% −0.6% a year | −1.1% −0.2% a year |
| Since 2020 from Dec 2019 | +81.7% 9.2% a year | +124% 12.7% a year | −7.6% −1.2% a year | −7.0% −1.1% a year |
| 10 years from Sep 2016 | +154% 9.8% a year | +135% 8.9% a year | −10.0% −1.0% a year | −8.1% −0.8% a year |
| Since 2010 from Dec 2009 | +342% 9.3% a year | +145% 5.5% a year | −33.0% −2.4% a year | −17.3% −1.1% a year |
| 20 years from Sep 2006 | +247% 6.4% a year | +337% 7.7% a year | −38.7% −2.4% a year | −16.6% −0.9% a year |
| Since 2000 from Dec 1999 | +162% 3.7% a year | +667% 7.9% a year | −19.5% −0.8% a year | −15.7% −0.6% a year |
| Since Jan 1985 from Jan 1985 | +1,242% 6.4% a year | +349% 3.7% a year | +173% 2.4% a year | +19.7% 0.4% a year |
Every period in pounds after UK inflation (CPI)
| Period | S&P 500 | Gold | UK cash (Bank Rate) | US cash (3-month T-bills) |
|---|---|---|---|---|
| Past year from Sep 2025 | +12.4% 12.4% a year | +15.7% 15.7% a year | +0.8% 0.8% a year | +2.0% 2.0% a year |
| 5 years from Sep 2021 | +41.2% 7.1% a year | +93.4% 14.1% a year | −6.0% −1.2% a year | −4.0% −0.8% a year |
| Since 2020 from Dec 2019 | +79.0% 9.0% a year | +121% 12.4% a year | −9.0% −1.4% a year | −8.4% −1.3% a year |
| 10 years from Sep 2016 | +144% 9.3% a year | +125% 8.4% a year | −13.7% −1.5% a year | −11.9% −1.3% a year |
| Since 2010 from Dec 2009 | +412% 10.2% a year | +184% 6.4% a year | −22.4% −1.5% a year | −4.2% −0.3% a year |
| 20 years from Sep 2006 | +353% 7.8% a year | +471% 9.1% a year | −19.9% −1.1% a year | +8.9% 0.4% a year |
| Since 2000 from Dec 1999 | +221% 4.5% a year | +839% 8.7% a year | −1.4% −0.1% a year | +3.3% 0.1% a year |
| Since Jan 1985 from Jan 1985 | +980% 5.9% a year | +261% 3.1% a year | +120% 1.9% a year | −3.7% −0.1% a year |
Every period in US dollars measured against the growth of the US M2 money supply
| Period | S&P 500 | Gold | UK cash (Bank Rate) | US cash (3-month T-bills) |
|---|---|---|---|---|
| Past year from Sep 2025 | +8.7% 8.7% a year | +11.9% 11.9% a year | −2.6% −2.6% a year | −1.4% −1.4% a year |
| 5 years from Sep 2021 | +59.7% 9.8% a year | +119% 16.9% a year | +6.3% 1.2% a year | +8.6% 1.7% a year |
| Since 2020 from Dec 2019 | +55.8% 6.8% a year | +92.0% 10.2% a year | −20.8% −3.4% a year | −20.3% −3.3% a year |
| 10 years from Sep 2016 | +97.3% 7.0% a year | +82.0% 6.2% a year | −30.2% −3.5% a year | −28.7% −3.3% a year |
| Since 2010 from Dec 2009 | +150% 5.6% a year | +38.7% 2.0% a year | −62.1% −5.6% a year | −53.2% −4.4% a year |
| 20 years from Sep 2006 | +70.6% 2.7% a year | +115% 3.9% a year | −69.8% −5.8% a year | −59.0% −4.4% a year |
| Since 2000 from Dec 1999 | +3.5% 0.1% a year | +203% 4.2% a year | −68.1% −4.2% a year | −66.6% −4.0% a year |
| Since Jan 1985 from Jan 1985 | +326% 3.5% a year | +42.4% 0.9% a year | −13.5% −0.3% a year | −62.0% −2.3% a year |
£10,000 left in each since 1999 and 2009
What a lump sum at the December close became, before and after UK inflation.
From January 1985 to September 2026, measured in pounds after UK inflation, the four finished in this order: the S&P 500 +980% (5.9% a year), gold +261% (3.1% a year), UK cash +120% (1.9% a year) and US cash −3.7% (−0.1% a year). Cash here is the best case for a saver: every month earns the full policy rate, interest is added monthly and nothing is taken off for tax.
Cash did far worse after 2009, when policy rates sat near zero for years and then inflation rose faster than rates in 2021 and 2022. Since the December 2009 close, UK cash at Bank Rate is down 22.4% after UK inflation, and US cash at T-bill rates down 17.3% after US inflation. Most easy-access accounts paid less than Bank Rate, so a typical saver lost more.
The table puts it in money. £10,000 left in cash at the December 1999 close is about £19,512 now, or £9,864 in 1999 pounds. The same sum in the S&P 500 is about £63,395, £32,051 in 1999 pounds, and that is before dividends.
| Holding | 1999 → now, £ | In 1999 £ | 2009 → now, £ | In 2009 £ |
|---|---|---|---|---|
| S&P 500 | £63,395 | £32,051 | £83,616 | £51,241 |
| Gold | £185,779 | £93,924 | £46,371 | £28,417 |
| UK cash (Bank Rate) | £19,512 | £9,864 | £12,668 | £7,763 |
| US cash (3-month T-bills) | £20,435 | £10,331 | £15,633 | £9,580 |
To Sep 2026. “In 1999 £” takes out UK inflation, so it shows what the pot can buy compared with the £10,000 at the start.
Every 10-year window since 1985
Each window of 120 months that ends in a different month, counted by which holding did best after inflation.
One end date can flatter any asset, so we also checked every 10-year window that ends between Jan 1995 and Sep 2026. In pounds after UK inflation, the S&P 500 came first in 221 of the 381 windows, gold in 131 and UK cash in 29. Cash beat the S&P 500 in 87 of them, and lost buying power outright in 155.
In dollars after US inflation, US cash never came first in any of the 380 windows. It beat the S&P 500 in 49 and lost to inflation in 193. The S&P 500 itself had a negative 10-year real return in 52 of the pound windows.
| Measured | Windows | S&P 500 1st | Gold 1st | Cash 1st | Cash > S&P | Cash < 0 |
|---|---|---|---|---|---|---|
| In pounds, after UK inflation UK cash at Bank Rate | 381 | 221 | 131 | 29 | 23% | 41% |
| In dollars, after US inflation US cash at T-bill rates | 380 | 244 | 136 | 0 | 13% | 51% |
“Cash > S&P” is the share of windows in which cash beat the S&P 500 after inflation; “Cash < 0” the share in which cash lost buying power.
Gaps and assumptions
What the figures leave out, so they can be read for what they are.
- Cash is modelled at the full policy rate: Bank of England Bank Rate in the UK, the 3-month Treasury bill rate in the US. Both are monthly averages, compounded monthly, before tax and fees. Most easy-access savings accounts paid less than Bank Rate.
- The S&P 500 figures are price returns and leave out dividends, which understates shares against cash.
- Gold prices are World Bank monthly averages, not month-end closes. Gold pays no income and costs money to store, which is not deducted.
- Bank Rate history here starts in January 1975 and the S&P 500 in January 1985, so the comparison begins there.
Cash vs stocks vs gold: questions
Worked out from the same monthly data as the tables. Educational information, not financial advice.
Has cash beaten inflation?
It depends on the period. Since Jan 1985, cash at Bank Rate is up 120% after UK inflation, helped by the high rates of the 1980s and 1990s. Since 2010 it is down 22.4%. Those are best-case figures at the full policy rate, before tax.
How often has cash beaten shares over 10 years?
Of the 381 rolling 10-year windows since 1985, UK cash at Bank Rate beat the S&P 500 after UK inflation in 87 (23%). In dollars, US cash at T-bill rates beat it in 49 of 380. The windows overlap, so they are not independent tests, and the S&P 500 figures leave out dividends.
What did £10,000 in cash in 2009 become?
At the full Bank Rate, interest added monthly and no tax taken, £10,000 from the December 2009 close is about £12,668 by Sep 2026. After UK inflation it buys what £7,763 bought in 2009.
Why use Bank Rate and T-bill rates for cash?
Both have unbroken monthly records in our sources, Bank Rate from 1975 and the T-bill rate from 1934. They show the most a saver in cash could have earned without fixing their money away. Actual savings accounts paid less on average, so real savers did somewhat worse than the cash lines here.
Important information
Capital at risk. The value of investments can fall as well as rise and you may get back less than you invest. Past performance is not a reliable indicator of future results. Educational information only, not financial advice. Read our disclaimer.