Stamp duty guide
Stamp duty in the UK: a complete guide for 2025
Stamp duty is one of the biggest upfront costs when buying a home. How much you pay depends on the property price, where you live, whether you are a first-time buyer, and whether you already own a home. This guide covers all three UK tax systems — SDLT, LTT and LBTT — with the latest rates from April 2025.
Which tax system applies to you?
England & Northern Ireland
SDLT — Stamp Duty Land Tax
Nil-rate: £125,000 · 2% £125K–£250K · 5% £250K–£925K · 10% £925K–£1.5M · 12% above
Wales
LTT — Land Transaction Tax
Nil-rate: £225,000 · 6% £225K–£400K · 7.5% £400K–£750K · 10% £750K–£1.5M · 12% above
Scotland
LBTT — Land & Buildings Transaction Tax
Nil-rate: £145,000 · 2% £145K–£250K · 5% £250K–£325K · 10% £325K–£750K · 12% above
Rates shown are from 1 April 2025 (SDLT and LBTT) and the current LTT structure from the Welsh Revenue Authority. Always verify with official sources for the latest thresholds.
What changed in April 2025
The temporary SDLT cuts introduced in September 2022 (which raised the nil-rate band to £250,000) ended on 31 March 2025. From 1 April 2025:
- Nil-rate band reverted from £250,000 back to £125,000 for standard buyers
- A 2% rate band was reintroduced for £125,001 to £250,000 (this band was 0% during the temporary period)
- First-time buyer relief now applies up to £300,000 (down from £425,000 during the temporary period)
- First-time buyer maximum property price for relief: £500,000 (down from £625,000)
- Additional property surcharge remains at 5% throughout the UK (England & NI)
These changes mean most homebuyers in England and Northern Ireland now pay more stamp duty than they would have during the temporary period. A £300,000 purchase that cost £2,500 before April 2025 now costs £5,000 for a standard buyer.
First-time buyer relief
First-time buyers in England and Northern Ireland get reduced SDLT. If you are a first-time buyer and the property costs £500,000 or less:
- No SDLT on the first £300,000 (nil-rate band extended from £125,000 to £300,000)
- 5% on the portion from £300,001 to £500,000
Example: A first-time buyer purchasing a £400,000 property would pay 0% on the first £300,000 (£0 tax) and 5% on the remaining £100,000 = £5,000. A standard buyer on the same property would pay approximately £11,250.
📖 Read the full first-time buyer guide — Find affordable areas using real sold-price data and understand how to check whether an asking price is fair. First-time buyer guide →
Wales and Scotland offer their own first-time buyer relief schemes — check the Welsh Revenue Authority and Revenue Scotland websites for current thresholds.
Additional property surcharge
If you already own a residential property and are buying an additional home — whether as a second home, buy-to-let investment, or holiday home — you pay a surcharge on top of the standard rates:
- England & NI: +5% surcharge on the entire purchase price
- Wales: +4% surcharge on the entire purchase price
- Scotland: +8% Additional Dwelling Supplement (ADS)
Example: A £350,000 additional property in England would incur standard SDLT of £7,500 plus a 5% surcharge on the full £350,000 (£17,500) = £25,000 total.
💡 Tip: If you are replacing your main home, you are exempt from the surcharge as long as the new home replaces your main residence. If you havent sold your previous home yet, you can claim a refund if you sell it within 36 months.
How and when to pay
1. Your solicitor handles it
Your conveyancer or solicitor files the SDLT return and pays HMRC on your behalf. The tax is typically added to your completion statement.
2. 14 days from completion
Payment is due within 14 days of the completion date. Late payment triggers automatic interest charges and potential penalties.
3. Save for the bill
Unlike the deposit, stamp duty comes out of your cash at completion — it cannot be added to your mortgage. Factor it into your savings target.
You can also file and pay directly through the HMRC Stamp Duty service if you are not using a solicitor.
Stamp duty on an average home in your area
CR0 — Croydon
Avg £265K → SDLT ~£4,050
E14 — London
Avg £484K → SDLT ~£16,700
BN1 — Brighton
Avg £284K → SDLT ~£5,450
BB5 — Accrington
Avg £91K → SDLT £0 (nil-rate)
M1 — Manchester
Check area guide for prices
L1 — Liverpool
Check area guide for prices
Estimated SDLT for a standard buyer in England. Your actual tax depends on your specific circumstances. Use the calculator for an accurate figure.
Calculate stamp duty for your property →Frequently asked questions
Do I have to pay stamp duty on every property purchase?
Not always. Properties under £125,000 (England & NI) fall within the nil-rate band. First-time buyers pay no SDLT on purchases up to £300,000 (property must cost £500,000 or less). However, additional property buyers face a surcharge from the first pound in most cases.
What is the difference between SDLT, LTT and LBTT?
SDLT (Stamp Duty Land Tax) applies in England and Northern Ireland. LTT (Land Transaction Tax) applies in Wales. LBTT (Land and Buildings Transaction Tax) applies in Scotland. Each has its own rate bands, thresholds, and relief schemes, though the broad structure is similar.
When is stamp duty paid?
Stamp duty is due within 14 days of completion (the day ownership transfers to you). Your solicitor or conveyancer typically files the return and pays HMRC on your behalf, adding the tax to your completion statement. Late payment can incur interest and penalties.
How much stamp duty will I pay on the average UK house?
On the average UK house price of £395,697 (England & Wales, H1 2026): 0% on the first £125,000, 2% on the next £125,000 (£2,500), 5% on the remaining £145,697 (£7,285). Total: approximately £9,785. Use the stamp duty calculator for your exact property price.
Can I claim a stamp duty refund?
Yes, if you paid the additional property surcharge (5%) and sold your main home within 36 months of buying the new property, you can claim a refund. First-time buyer relief can also be claimed after purchase if you were eligible at the time.
Related guides
How to Use Sold Prices When Making an Offer
Use sold-price evidence to prepare for a UK property offer.
Asking Price vs Sold Price in the UK
Understand the difference between asking prices and actual sold prices.
Stamp Duty Calculator
Calculate SDLT, LTT or LBTT for your property.
Mortgage Calculator
Estimate monthly mortgage payments.