UK Stamp Duty Rates 2025/2026
Stamp duty is a tax paid when purchasing property or land in the UK. The amount you pay depends on the purchase price, property location, and whether you're a first-time buyer, home mover, or purchasing an additional property. Different taxes apply in different parts of the UK: Stamp Duty Land Tax (SDLT) in England and Northern Ireland, Land and Buildings Transaction Tax (LBTT) in Scotland, and Land Transaction Tax (LTT) in Wales.
Current SDLT Rates - England & Northern Ireland
From 1 April 2025, the temporary stamp duty relief ended and thresholds returned to previous levels. The nil-rate threshold dropped from £250,000 to £125,000 for standard purchases.
| Property Price Band | Standard Rate | First-time Buyer | Additional Property |
|---|---|---|---|
| Up to £125,000 | 0% | 0% | 5% |
| £125,001 to £250,000 | 2% | 0%* | 7% |
| £250,001 to £300,000 | 5% | 0%* | 10% |
| £300,001 to £500,000 | 5% | 5%* | 10% |
| £500,001 to £925,000 | 5% | 5% | 10% |
| £925,001 to £1,500,000 | 10% | 10% | 15% |
| Over £1,500,000 | 12% | 12% | 17% |
*First-time buyer relief only applies to properties up to £500,000. Above this, standard rates apply.
Current LBTT Rates - Scotland
Scotland has its own property tax called Land and Buildings Transaction Tax. The nil-rate threshold is £145,000 for standard purchases, with first-time buyers benefiting from a higher threshold of £175,000.
| Property Price Band | Standard Rate | First-time Buyer |
|---|---|---|
| Up to £145,000 (£175,000 for FTB) | 0% | 0% |
| £145,001/£175,001 to £250,000 | 2% | 2% |
| £250,001 to £325,000 | 5% | 5% |
| £325,001 to £750,000 | 10% | 10% |
| Over £750,000 | 12% | 12% |
Additional Dwelling Supplement (ADS): 8% of the full purchase price for additional properties (from December 2024).
Current LTT Rates - Wales
Wales has a higher nil-rate threshold of £225,000, meaning approximately 60% of property transactions in Wales pay no land transaction tax. However, Wales does not offer specific first-time buyer relief.
| Property Price Band | Main Residence | Additional Property |
|---|---|---|
| Up to £225,000 | 0% | 5% |
| £225,001 to £400,000 | 6% | 11% |
| £400,001 to £750,000 | 7.5% | 12.5% |
| £750,001 to £1,500,000 | 10% | 15% |
| Over £1,500,000 | 12% | 17% |
Higher rates for additional properties increased to 5% surcharge from December 2024.
Stamp Duty Changes in 2025
Significant changes to stamp duty took effect on 1 April 2025, ending the temporary relief that had been in place since September 2022. The key changes were:
The standard nil-rate threshold dropped from £250,000 to £125,000. First-time buyer relief threshold reduced from £425,000 to £300,000, with the maximum property value for relief dropping from £625,000 to £500,000. The additional property surcharge increased from 3% to 5% in October 2024. These changes mean most buyers now pay more stamp duty than they would have before April 2025.
First-Time Buyer Relief Explained
First-time buyer relief reduces or eliminates stamp duty for people who have never owned property before. To qualify, you must never have owned a freehold or leasehold property anywhere in the world, and you must intend to live in the property as your main residence.
In England and Northern Ireland, first-time buyers pay no SDLT on the first £300,000 of a property purchase, and 5% on the portion between £300,001 and £500,000. If the property costs more than £500,000, you cannot claim first-time buyer relief and must pay standard rates on the full purchase price.
In Scotland, first-time buyers benefit from an increased nil-rate threshold of £175,000 instead of the standard £145,000. Wales does not offer specific first-time buyer relief, though the higher nil-rate threshold of £225,000 benefits all buyers.
Additional Property Surcharge
If you're buying a second home, holiday home, or buy-to-let property while keeping your existing property, you'll pay higher rates of stamp duty. This additional property surcharge applies in all UK nations.
In England and Northern Ireland, the surcharge is 5% added to each SDLT band. In Scotland, the Additional Dwelling Supplement (ADS) is 8% of the entire purchase price, charged on top of standard LBTT. In Wales, higher rates apply which are approximately 5 percentage points above the main residential rates.
You may be able to reclaim the additional property surcharge if you sell your previous main residence within 36 months of purchasing your new home.
When Do You Pay Stamp Duty?
Stamp duty must be paid within 14 days of completing your property purchase in England and Northern Ireland, or within 30 days in Scotland and Wales. Your solicitor or conveyancer typically handles the payment and submission of the tax return on your behalf.
Late payment can result in penalties and interest charges. The penalty for late filing starts at £100 and increases the longer the return remains outstanding. Interest is charged on any unpaid tax from the day after the filing deadline.
Stamp Duty Exemptions
Some property transactions are exempt from stamp duty or may qualify for relief. Common exemptions include properties transferred as part of a divorce or civil partnership dissolution, properties left to you in a will, and properties transferred to a company you own. Purchases below £40,000 are also generally exempt from reporting requirements.
Non-UK Resident Surcharge
If you're not a UK resident for tax purposes, you'll pay an additional 2% surcharge on top of the standard SDLT rates when buying residential property in England and Northern Ireland. This applies if you haven't spent at least 183 days in the UK during the 12 months before your purchase.
You may be able to claim a refund if you become UK resident within 2 years of the purchase date.
How Stamp Duty is Calculated
Stamp duty uses a progressive band system, similar to income tax. You pay the tax rate for each band only on the portion of the property price that falls within that band, not on the entire purchase price. This means the effective tax rate (total tax divided by purchase price) is always lower than the highest band rate that applies to your purchase.
For example, if you buy a £300,000 property in England as a first-time buyer, you pay 0% on the first £300,000, resulting in no stamp duty. If you're a home mover buying the same property, you pay 0% on the first £125,000, 2% on the next £125,000 (£2,500), and 5% on the remaining £50,000 (£2,500), totalling £5,000.