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GCSE Maths · EdexcelChapter 5 · Percentages
GCSE Maths · Percentages · Foundation · Lesson 5.4

GCSE Maths: Percentage increase and decrease (Foundation)

Part of the GCSE Maths percentages chapter (Foundation). Chapter overview · Higher version of this lesson · whole chapter on one page · Download worksheet (PDF) · Answers (PDF)

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5.4

Percentage increase and decrease

Edexcel 1MA1: R9
Grade 3-6

Prices go up, prices come down. A phone is “15% off”, rent “rises by 4%”, a population “grows by 2%”. In each case the original amount is changed by a percentage of itself. There are two good ways to find the new amount.

Method 1: find the change, then add or subtract

Work out the percentage of the original amount (as in Section 5.2). For an increase, add it to the original. For a decrease, subtract it. This is easy without a calculator because it uses 10% and 1% steps.

Method 2: use a multiplier

The original amount is 100%. An increase of 15% makes the new amount 100% + 15% = 115% of the original, and 115% as a decimal is 1.15. So increasing by 15% is the same as multiplying by 1.15. A decrease of 15% leaves 100% − 15% = 85%, and 85% as a decimal is 0.85. The number you multiply by is called the multiplier. It takes you from the old amount to the new amount in one step, which is quick on a calculator.

Original£80New amount£92× 1.15a 15% increaseone multiplication does it all
Increase £80 by 15%: multiply by 1.15 to get £92.
ChangeNew amount as a percentageMultiplier
Increase by 10%110%1.1
Increase by 5%105%1.05
Increase by 35%135%1.35
Decrease by 10%90%0.9
Decrease by 5%95%0.95
Decrease by 35%65%0.65

Increases of 100% or more

An increase can be bigger than 100%. An increase of 100% means you add on the whole amount again, so the amount doubles (multiplier 2). An increase of 150% gives 100% + 150% = 250% of the original, a multiplier of 2.5. A decrease can never be more than 100%, because you cannot take away more than you have.

the original: 100%+150%0%100%250%250% of the original is more than the original
An increase of 150% makes the new amount 250% of the original (a multiplier of 2.5).

From a multiplier back to a percentage

Look at the multiplier. A multiplier above 1 means an increase: 1.08 is 108%, which is an increase of 8%. A multiplier below 1 means a decrease: 0.6 is 60%, which is a decrease of 40%. And 2.5 is 250%, an increase of 150%.

Key ideas

  • Original amount = 100%.
  • Increase of p%: new amount is (100 + p)% of the original. Multiplier = 1 + p/100.  e.g. +15% → 1.15.
  • Decrease of p%: new amount is (100 − p)% of the original. Multiplier = 1 − p/100.  e.g. −15% → 0.85.
  • New amount = original × multiplier.
  • An increase of 100% doubles the amount; an increase over 100% has a multiplier over 2.
  • Without a calculator: find the percentage, then add it (increase) or subtract it (decrease).
Worked example 5.4.1
Increase £80 by 15%.

Key words. Per cent means “out of 100”. A percentage is a fraction whose denominator is 100, written with the % sign. A multiplier is the number you multiply by to get the new amount in one step.

Method. To increase an amount by a percentage, find the multiplier and multiply. The multiplier for a 15% increase is 1.15.

  1. Find the percentage the new amount will be. An increase of 15% means we add 15% of the original. The original is 100%, so the new amount is 100% + 15%.
    100% + 15% = 115% of the original
  2. Write that percentage as a decimal: this is the multiplier. Divide by 100.
    115% = 115 ÷ 100 = 1.15
  3. Multiply the original amount by the multiplier. One multiplication gives the new amount straight away.
    £80 × 1.15 = £92

Check. Other way: 15% of £80 = 12; £80 + 12 = 92. ✓

Watch out. Do not multiply by 0.15 only: that finds the 15% but not the new amount. The multiplier includes the original 100%.

Worked example 5.4.2
In a sale all prices are reduced by 12%. A bike costs £250. Work out the sale price. Do not use a calculator.

Method. Find 12% of the amount, then subtract it from the original.

  1. Split the percentage into easy parts. We can find 10% and 1% very quickly, so we build the percentage out of them.
    12% = 10% + 2%
  2. Find 10%. 10% is one tenth, so divide the amount by 10 (each digit moves one place to the right).
    10% of £250 = £250 ÷ 10 = £25
  3. Find 1%. 1% is one hundredth, so divide the amount by 100 (each digit moves two places to the right).
    1% of £250 = £250 ÷ 100 = £2.50
  4. Work out each part. Use the 10% or 1% you found.
    10% = £25
    2% = 2 × 1% = 2 × £2.50 = £5
  5. Add the parts together. The parts together make up the whole percentage.
    £25 + £5 = £30
  6. Subtract it from the original amount. We want the amount after the decrease.
    £250 − £30 = £220

Check. Multiplier check: 88% = 0.88, and 0.88 × £250 = £220. ✓

Watch out. Remember the last step. Finding the percentage is not the final answer: add it on or take it off.

Worked example 5.4.3
Decrease 64 kg by 35%.

Method. To decrease an amount by a percentage, find the multiplier and multiply. The multiplier for a 35% decrease is 0.65.

  1. Find the percentage the new amount will be. A decrease of 35% means we subtract 35% of the original. The original is 100%, so the new amount is 100% − 35%.
    100% − 35% = 65% of the original
  2. Write that percentage as a decimal: this is the multiplier. Divide by 100.
    65% = 65 ÷ 100 = 0.65
  3. Multiply the original amount by the multiplier. One multiplication gives the new amount straight away.
    64 kg × 0.65 = 41.6 kg

Check. Other way: 35% of 64 kg = 22.4; 64 kg − 22.4 = 41.6. ✓

Watch out. Do not multiply by 0.35 only: that finds the 35% but not the new amount. The multiplier is what is left after the decrease.

Worked example 5.4.4
Write down the multiplier for a decrease of 7%.

Method. A decrease of 7% means the new amount is 93% of the original. Write 93% as a decimal.

  1. Work out the new percentage. The original is 100%. For a decrease we subtract 7%.
    100% − 7% = 93%
  2. Divide by 100. To change a percentage to a decimal.
    93% = 93 ÷ 100 = 0.93
  3. Check the size of the multiplier. A decrease should give a multiplier below 1.
    0.93 is below 1, so it makes the amount smaller.

Check. Multiplying 100 by 0.93 gives 93, which is a 7% decrease on 100. ✓

Watch out. A decrease multiplier is less than 1; an increase multiplier is more than 1.

Worked example 5.4.5
A TV costs £340 before VAT. VAT of 20% is added. Work out the total price.

Method. To increase an amount by a percentage, find the multiplier and multiply. The multiplier for a 20% increase is 1.2.

  1. Find the percentage the new amount will be. An increase of 20% means we add 20% of the original. The original is 100%, so the new amount is 100% + 20%.
    100% + 20% = 120% of the original
  2. Write that percentage as a decimal: this is the multiplier. Divide by 100.
    120% = 120 ÷ 100 = 1.2
  3. Multiply the original amount by the multiplier. One multiplication gives the new amount straight away.
    £340 × 1.2 = £408

Check. Other way: 20% of £340 = 68; £340 + 68 = 408. ✓

Watch out. Do not multiply by 0.2 only: that finds the 20% but not the new amount. The multiplier includes the original 100%.

Worked example 5.4.6
Increase 40 by 150%.

Method. To increase an amount by a percentage, find the multiplier and multiply. The multiplier for a 150% increase is 2.5.

  1. Find the percentage the new amount will be. An increase of 150% means we add 150% of the original. The original is 100%, so the new amount is 100% + 150%.
    100% + 150% = 250% of the original
  2. Write that percentage as a decimal: this is the multiplier. Divide by 100.
    250% = 250 ÷ 100 = 2.5
  3. Multiply the original amount by the multiplier. One multiplication gives the new amount straight away.
    40 × 2.5 = 100

Check. Other way: 150% of 40 = 60; 40 + 60 = 100. ✓

Watch out. Do not multiply by 1.5 only: that finds the 150% but not the new amount. The multiplier includes the original 100%.

Worked example 5.4.7
A price is multiplied by 2.5. What is the percentage increase?

Method. Compare the multiplier with 1 (which is 100%). More than 1 is an increase; less than 1 is a decrease.

  1. Write the multiplier as a percentage. Multiply by 100.
    2.5 × 100 = 250%
  2. Compare with 100%. The original is 100%. 250% is more than 100%.
    250% − 100% = 150%
  3. Say it in words.
    a 150% increase

Check. 100 × 2.5 = 250, which is 150 more than 100. ✓

Watch out

Finding the percentage is not the end. To increase by 15% you must add the 15% to the original (or multiply by 1.15, not by 0.15). And a decrease multiplier is less than 1: for a 15% decrease use 0.85, not 1.15 or 0.15.

Exercise 5F  Increase and decrease (non-calculator)

Non-calculator
1
FIncrease each amount by the percentage shown. Do not use a calculator.
(a)80 by 10%
(b)£150 by 20%
(c)240 by 5%
(d)£60 by 25%
(e)400 by 30%
(f)£35 by 40%
2
FDecrease each amount by the percentage shown. Do not use a calculator.
(a)£80 by 10%
(b)120 by 25%
(c)£250 by 20%
(d)64 by 50%
(e)£90 by 30%
(f)300 by 15%
3
FWork out the sale price of each item. Do not use a calculator.
(a)A £40 top with 10% off
(b)A £70 bag with 20% off
(c)A £30 hat with 50% off
4
FWrite down the multiplier for each change.
(a)an increase of 10%
(b)an increase of 4%
(c)a decrease of 20%
(d)a decrease of 3%
(e)an increase of 35%
(f)a decrease of 45%
5
FEach number is a multiplier. Write down the percentage increase or decrease it stands for.
(a)1.2
(b)1.07
(c)0.9
(d)0.65
(e)1.5
(f)2
6
PSA jacket costs £120. In a sale it is reduced by 30%. Work out the sale price.
7
PSA train fare of £48 goes up by 5%. Work out the new fare.
8
PSA plumber charges £60 plus VAT at 20%. Work out the total cost.
9
PSIn 2020 a village had 2,400 people. By 2025 the population had increased by 15%. How many people lived in the village in 2025?
10
RMark says, “To increase a price by 8% you multiply it by 0.08.” Explain why he is wrong. What should he multiply by?
11
RWork out the percentage change in each case.
(a)A price is doubled. What is the percentage increase?
(b)A price is multiplied by 3. What is the percentage increase?
(c)A price is halved. What is the percentage decrease?
12
RShow that increasing 60 by 50% gives the same answer as decreasing 150 by 40%.

Exercise 5G  Increase and decrease (calculator)

Calculator allowed
1
FUse a multiplier to work out each new amount.
(a)Increase £85 by 8%
(b)Decrease £250 by 12%
(c)Increase 640 by 3.5%
(d)Decrease 3,400 by 17%
(e)Increase 1,850 by 22%
(f)Decrease 280 by 4.5%
2
FWork out each new amount. Give your answers to the nearest penny.
(a)Increase £249.99 by 15%
(b)Decrease £64.50 by 12.5%
(c)Increase £1,875 by 2.9%
3
FWork out each new amount using a calculator.
(a)Increase £200 by 10%
(b)Increase £200 by 5%
(c)Decrease £120 by 20%
(d)Decrease £120 by 5%
4
FIncrease each amount by the percentage shown. (Remember the multiplier can be more than 2.)
(a)40 by 150%
(b)£80 by 200%
(c)25 by 120%
5
PSOla earns £2,150 each month. Her pay is increased by 3%. Work out her new monthly pay.
6
PSA laptop costs £650 before VAT. VAT is 20%. Work out the total cost.
7
PSChloe earns £11.50 an hour. Her pay is increased by 4%. Work out her new hourly pay.
8
PSA car is worth £14,500 when new. In its first year its value falls by 18%. What is it worth after one year?
9
PSThe population of a city is 125,000. It increases by 2.4%. Work out the new population.
10
PSA landlord increases the monthly rent of £720 by 6.5%. Work out the new rent.
11
RA £50 jumper is reduced by 20%. Liam says, “The sale price is £10, because 20% of 50 is 10.” Explain his mistake and work out the correct sale price.
12
RA shop raises all its prices by 10%. Mina says, “So a pair of shoes that cost £60 now costs £66.” Is she right? Show your working.

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