Key takeaway
Use percentage points for the absolute gap between two rates (5% → 6% = +1 pp) and percent for the relative change between two rates (5% → 6% = +20%). Say which you mean: 'up 1 point' and 'up 20 percent' describe the same move differently. Mixing them misleads readers about the real size of the change.
Scope and assumptions
General convention. pp = absolute subtraction of rates; % change = relative to the starting rate. This site is informational and not official.
Short answer: Use percentage points for the absolute gap between two rates (5% → 6% = +1 pp) and percent for the relative change between two rates (5% → 6% = +20%). Say which you mean: "up 1 point" and "up 20 percent" describe the same move differently. Mixing them misleads readers about the real size of the change. This page is about choosing between percent change and pp as the reporting unit; for the broader "percent vs pp" distinction see Percent vs Percentage Point, and for the gap formula see Percentage Point Difference.
Quick navigation
- Percent vs pp → percent-vs-percentage-point
- What a pp is → what-is-a-percentage-point
- Basis points → basis-points-vs-percentage
- The calculator → Percentage Calculator
1. Two readings of one move
A rate moves 5% → 6%.
- pp (absolute): 6 − 5 = +1 pp
- % change (relative): (6 − 5) / 5 × 100 = +20%
2. When to use each
- Percentage points — you care about the gap in rates themselves (policy, interest rates, poll margins).
- Percent change — you care about the proportional move (growth, impact on a value).
3. Worked table
| Move | pp | % relative |
|---|---|---|
| 5% → 6% | +1 pp | +20% |
| 50% → 55% | +5 pp | +10% |
| 80% → 76% | −4 pp | −5% |
| 2% → 3% | +1 pp | +50% |
4. Why it matters
"Unemployment fell 1%" could mean the rate went 5%→4% (−1 pp) or that unemployment count fell 1%相对. The unit changes the meaning entirely. Always name it.
5. Clear phrasing
- ✅ "The rate rose 1 percentage point."
- ✅ "The rate rose 20 percent, from 5% to 6%."
- ✅ "Up 1 pp (a 20% rise)."
- ❌ "Up 1 percent." (wrong for a 5→6 rate move)
6. Common mistakes
- Using % when pp is meant — understates or overstates a rate gap.
- Using pp when relative impact is meant — hides the true proportional move.
- Dropping the unit — ambiguity follows.
- Assuming pp < % always — near 100% the relationship flips.
- Mixing them in one sentence — pick one or state both.
7. One-sentence rule
State the before-and-after rates, then give both readings: "from 5% to 6% — up 1 pp, a 20% rise." The rates make the base explicit, and the two units cover every reader. If you can only write one, write the pp for the gap and add the percent in parentheses; together they are impossible to misread, and the ambiguity that fuels headlines disappears.
8. Write the rates, then both units
The safest sentence names the before-and-after rates and gives both readings: "from 5% to 6% — up 1 pp, a 20% rise." The rates fix the base, and the two units cover every reader, so no one has to guess which meaning you intended. If space allows only one unit, lead with the pp for the flat gap and add the percent in parentheses; together they are impossible to misread, and the ambiguity that fuels confusing headlines simply disappears because both the gap and the move are on the page.
FAQ
Q: When do I use percentage points vs percent change? Use pp for the flat gap between two rates; use % for the relative change from the starting rate.
Q: 5% to 6% — pp and percent? +1 pp (absolute gap) and +20% (relative change from 5%).
Q: Why does it matter? They describe the same move with different sizes; picking the wrong one misstates impact.
Q: Can both be correct at once? Yes — a single move has both a pp value and a % value; report the one your reader needs, or both.
Q: Is a pp change always smaller than the % change? No. From 50%→55% it is +5 pp but only +10% relative; near 100% the % can be tiny while pp is large.
Q: How do I phrase it clearly? Write 'up 1 pp (a 20% rise)' so both readings are explicit.
Q: Do basis points fit here? Yes — 1 pp = 100 bps; use bps for very small rate moves. See basis-points-vs-percentage.
Q: What if the rate falls? Then pp is negative and the % change is negative too; both signs flip.
Sources: Investopedia — Percentage Point; Khan Academy percentages.
Disclaimer: General convention. pp = absolute subtraction of rates; % change = relative to the starting rate. This site is informational and not official.
Sources and references
- Investopedia — Percentage Pointhttps://www.investopedia.com/terms/p/percentage-point.asp
- Khan Academy percentageshttps://www.khanacademy.org/math/pre-algebra/x31947de81e3f6453:percentages