When you purchase property in England and Northern Ireland, it may be subject to Stamp Duty Land Tax (SDLT). This is applicable if the house is over a certain value, depending on your circumstances. Over recent years there have been a plethora of changes to Stamp Duty rates. The most recent change came into effect on 1st April 2025. In this article we’ll detail the current standard stamp duty rates, plus those for first-time buyers. We’ll also note the additional fee applied to purchases where the home is not the main residence.
In this article, all rates listed are for residential properties in England and Northern Ireland. Different rates apply for non-residential or mixed-use properties. Find out more about these rates on the government website*. Different rules also apply in Scotland, where the tax is called Land & Buildings Transaction Tax. In Wales it is called Land Transaction Tax.
Current SDLT rates
Standard rates of Stamp Duty apply if the property value is over £125,000. First-time buyers relief increases this threshold to £300,000, and offers discounted rates on property purchases up to £500,000.
Standard rates for residential properties
| House value | Rate |
| Up to £125,000 | 0% |
| £125,001 – £250,000 | 2% |
| £250,001 – £925,000 | 5% |
| £925,001 – £1,500,000 | 10% |
| Over £1.5million | 12% |
The rate for each portion of the house value is paid. For example, if you purchase a house for £500,000, your Stamp Duty will be calculated as follows:
0% on first £125,000 = £0
2% on amount from £125,001 – £250,000 = £2,500
5% on amount from £250,001 – £500,000 = £12,500
Total Stamp Duty due = £15,000
Rates for first-time buyers
First-time buyers are eligible for more favourable Stamp Duty rates, known as first-time buyers relief. No stamp duty is due on properties worth up to £300,000. A discounted rate is applicable on properties purchased for up to £500,000. No first-time buyers relief is available on properties worth over £500,000. In these instances, the standard rates would be due for all thresholds.
A first-time buyer is someone who has never owned a property before. They should be buying a property to be their main residence. Properties that have been inherited, even if they are sold immediately, make you ineligible for first-time buyer relief.
The rates of Stamp Duty for first-time buyers are:
| House value | Rate |
| Up to £300,000 | 0% |
| £300,001 – £500,000 | 5% |
Rates for additional properties
For those buying a residential property that is not their main residence, an additional rate is applied. Exemptions include the purchase of caravans, motor homes or houseboats. If the property is purchased for less than £40,000, no Stamp Duty is due. For properties worth over this threshold, 5% is added to each standard rate listed above. The additional rates are:
| House value | Rate |
| Up to £40,000 | 0% |
| £40,001 – £125,000 | 5% |
| £125,001 – £250,000 | 7% |
| £250,001 – £925,000 | 10% |
| £925,001 – £1,500,000 | 15% |
| Over £1.5million | 17% |
If you purchase a new residence but haven’t sold your previous residence first, you’ll be subject to the additional rate. Selling the previous property within three years of the new purchase makes you eligible for a refund. You could receive a refund for the difference in rates from standard to additional Stamp Duty.
Previous Stamp Duty rates
Stamp Duty rates can vacillate depending on governmental priorities regarding the housing market. Lowering rates can encourage house sales, providing a boost for the industry. Conversely, lowering thresholds can raise more in taxes for the government. From September 2022 until 31st March 2025, the stamp duty rates were as below.
Standard rates for residential properties
The standard rate threshold for paying zero Stamp Duty was higher, at £250,000. All other thresholds and rates were the same.
| House value | Rate |
| Up to £250,000 | 0% |
| £250,001 – £925,000 | 5% |
| £925,001 – £1,500,000 | 10% |
| Over £1.5million | 12% |
Rates for first-time buyers
The Stamp Duty thresholds for first-time buyers were also higher:
| House value | Rate |
| Up to £425,000 | 0% |
| £425,001 – £625,000 | 5% |
No first-time buyers relief was available on properties worth over £625,000.
Rates for additional properties
The Stamp Duty rates for additional properties were 3% higher than the standard rates until 31st October 2024:
| House value | Rate |
| Up to £40,000 | 0% |
| £40,001 – £250,000 | 3% |
| £250,001 – £925,000 | 8% |
| £925,001 – £1,500,000 | 13% |
| Over £1.5million | 15% |
On 30th October 2024, the government laid out their Autumn Statement. During this the Stamp Duty rate for additional properties was raised from 3% to 5%. This change took effect the next day.
How Bell Mortgage Solutions can help
It’s easy to see how Stamp Duty can be confusing to prospective property purchasers. With different thresholds and rates applicable depending on your circumstances it can be overwhelming. The changing rates determined by the government have an impact on the upfront cost of moving home for many.
Stamp Duty must be paid within 14 days of property purchase completion, so isn’t something that can be ignored. Bell Mortgage Solutions will discuss your financial circumstances with you to determine if adding the Stamp Duty to your mortgage value is the right choice for you. Contact us to book an appointment to discuss this or any other mortgage-related queries.
Please note: Your home may be repossessed if you do not keep up repayments on your mortgage.
* Please be aware that by clicking onto the above link you are leaving the Bell Mortgage Solutions website. Please note that neither Bell Mortgage Solutions nor PRIMIS are responsible for the accuracy of the information contained within the linked site accessible from this page.
The information contained within was correct at the time of publication but is subject to change.
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