How much is Stamp Duty in 2026?

From 1 April 2025, the Stamp Duty nil-rate threshold returned to £125,000 for most buyers (down from the temporary £250,000 threshold). The first-time buyer threshold returned to £300,000 (down from £425,000). You pay 2% on £125,001–£250,000, 5% on £250,001–£925,000, 10% on £925,001–£1.5 million, and 12% above £1.5 million. An additional 5% surcharge applies to second homes and buy-to-let properties on top of these rates.

Do first-time buyers pay Stamp Duty?

First-time buyers pay no Stamp Duty on the first £300,000 of a property purchase, provided the property costs no more than £500,000. On the portion between £300,001 and £500,000, they pay 5%. If the property costs more than £500,000, first-time buyer relief is lost entirely and normal rates apply. Both buyers in a joint purchase must be first-time buyers to qualify.

How much extra Stamp Duty on a second home?

The additional property surcharge is 5% on top of the standard rates for second homes, buy-to-let properties, and any additional residential property purchases. This applies from the first pound — there is no nil-rate band. For example, on a £300,000 second home, you would pay the standard SDLT plus the 5% surcharge on the full £300,000 (£15,000 surcharge). The surcharge increased from 3% to 5% in October 2024.

Can I get a Stamp Duty refund?

You can reclaim the additional property surcharge if you sell your previous main home within 36 months of buying a new one. For example, if you buy a new home before selling your old one, you'll initially pay the surcharge — but can claim it back once the old home is sold (within 36 months). Apply for a refund through HMRC. You must apply within 12 months of selling the old property or within 12 months of the filing date for the original SDLT return, whichever comes later.

Stamp Duty Rates 2026/27 — Thresholds, Calculator, and How to Save | PocketWise

Stamp Duty Land Tax (SDLT) is the tax you pay when buying property or land in England and Northern Ireland over a certain price. Here are the current rates and thresholds for 2026/27.

Standard Stamp Duty Rates (2026/27)

Property price band	SDLT rate
Up to £125,000	0%
£125,001–£250,000	2%
£250,001–£925,000	5%
£925,001–£1,500,000	10%
Above £1,500,000	12%

SDLT is charged in bands (like income tax) — you only pay the higher rate on the portion of the price within that band, not the whole purchase price.

First-Time Buyer Rates

Property price band	First-time buyer rate
Up to £300,000	0%
£300,001–£500,000	5%
Above £500,000	No relief — standard rates apply to the entire purchase

First-Time Buyer Eligibility

Requirement	Detail
Never owned property before	Anywhere in the world
Property is your main residence	Not a buy-to-let or second home
Purchase price £500,000 or less	Relief is withdrawn above £500,000
Joint buyers	Both/all buyers must be first-time buyers

Additional Property Surcharge (Second Homes / Buy-to-Let)

Property price band	Standard rate + 5% surcharge
Up to £125,000	5% (0% + 5%)
£125,001–£250,000	7% (2% + 5%)
£250,001–£925,000	10% (5% + 5%)
£925,001–£1,500,000	15% (10% + 5%)
Above £1,500,000	17% (12% + 5%)

The 5% surcharge applies to:

Second homes
Buy-to-let properties
Any additional residential property you own
Buying a new home before selling your old one (refundable within 36 months)

SDLT Calculation Examples

Example 1: Standard Purchase — £350,000

Band	Amount	Rate	Tax
£0–£125,000	£125,000	0%	£0
£125,001–£250,000	£125,000	2%	£2,500
£250,001–£350,000	£100,000	5%	£5,000
Total SDLT			£7,500

Example 2: First-Time Buyer — £350,000

Band	Amount	Rate	Tax
£0–£300,000	£300,000	0%	£0
£300,001–£350,000	£50,000	5%	£2,500
Total SDLT			£2,500

Saving vs standard rates: £5,000

Example 3: Second Home — £350,000

Band	Amount	Rate (standard + 5%)	Tax
£0–£125,000	£125,000	5%	£6,250
£125,001–£250,000	£125,000	7%	£8,750
£250,001–£350,000	£100,000	10%	£10,000
Total SDLT			£25,000

Example 4: First-Time Buyer — £500,000

Band	Amount	Rate	Tax
£0–£300,000	£300,000	0%	£0
£300,001–£500,000	£200,000	5%	£10,000
Total SDLT			£10,000

Standard rate would be £12,500 — saving: £2,500.

Example 5: First-Time Buyer — £510,000 (No Relief)

Band	Amount	Rate	Tax
£0–£125,000	£125,000	0%	£0
£125,001–£250,000	£125,000	2%	£2,500
£250,001–£510,000	£260,000	5%	£13,000
Total SDLT			£15,500

First-time buyer relief lost entirely because the price exceeds £500,000.

Quick Reference: SDLT at Common Price Points

Price	Standard buyer	First-time buyer	Second home
£150,000	£500	£0	£7,500
£200,000	£1,500	£0	£11,500
£250,000	£2,500	£0	£15,000
£300,000	£5,000	£0	£20,000
£350,000	£7,500	£2,500	£25,000
£400,000	£10,000	£5,000	£30,000
£450,000	£12,500	£7,500	£35,000
£500,000	£12,500	£10,000	£37,500
£600,000	£17,500	£17,500	£47,500
£750,000	£25,000	£25,000	£62,500
£1,000,000	£37,500	£37,500	£87,500

Scotland (LBTT) and Wales (LTT)

Scotland — Land and Buildings Transaction Tax (LBTT)

Band	Standard rate
Up to £145,000	0%
£145,001–£250,000	2%
£250,001–£325,000	5%
£325,001–£750,000	10%
Above £750,000	12%

Additional Dwelling Supplement (second homes): 8% on the total price.

First-time buyer relief: 0% up to £175,000.

Wales — Land Transaction Tax (LTT)

Band	Standard rate
Up to £225,000	0%
£225,001–£400,000	6%
£400,001–£750,000	7.5%
£750,001–£1,500,000	10%
Above £1,500,000	12%

Higher rates (additional properties): +4% on top of standard rates.

No first-time buyer relief in Wales.

How to Pay Stamp Duty

Detail	Information
Who arranges payment?	Your solicitor/conveyancer
When is it due?	Within 14 days of completion
How is it paid?	Your solicitor pays HMRC from the funds on completion day
Is it included in your mortgage?	No — it’s a separate cost you must pay (from your deposit/savings)

Ways to Save on Stamp Duty

Strategy	How it works
Negotiate a lower price	Even a small reduction can save thousands
Buy just below a threshold	Especially relevant at £125,000, £250,000, and £500,000 (first-time buyers)
Claim first-time buyer relief	Ensure your solicitor applies the relief correctly
Reclaim surcharge	If you sell a previous home within 36 months
Transfer to spouse	No SDLT on property transferred between spouses/civil partners
Shared ownership (staircasing)	Pay SDLT only on the share you buy
Fixtures and fittings	Negotiate separately — carpets, curtains, and moveable items are not subject to SDLT