Budget & housing
Stamp Duty 2026: What Buyers Pay Now
Current SDLT rates in England and Northern Ireland, first-time buyer relief, the additional-property surcharge and worked examples.
Updated July 2026 · 8 min read
General information only — not financial, legal or tax advice. Rates and rules change; check GOV.UK or official resources before making decisions.
Key takeaways
- In England and Northern Ireland, stamp duty (SDLT) is charged on a sliding scale — 0% on the first £125,000 for standard buyers, then 2%, 5%, 10% and 12% on higher bands.
- First-time buyers pay no SDLT on the first £300,000 (up to a £500,000 purchase price), then 5% on the portion up to £500,000.
- Buying an additional property (second home or buy-to-let) adds a 5% surcharge on top of standard rates.
- Scotland and Wales have separate systems — LBTT and LTT — with different thresholds.
- Stamp duty is usually due within 14 days of completion and is often the largest upfront cost after your deposit.
What is stamp duty?
Stamp Duty Land Tax (SDLT) is a tax you pay when you buy property or land in England and Northern Ireland above a certain price. Scotland charges Land and Buildings Transaction Tax (LBTT) and Wales charges Land Transaction Tax (LTT) — this guide covers SDLT only.
The amount depends on the purchase price, whether you are a first-time buyer and whether you already own another property. It is usually paid by your solicitor from funds you transfer before completion.
Standard SDLT rates from April 2025
These are the rates that apply to most home movers who have owned property before. Tax is calculated on each slice of the price — you do not pay one flat rate on the whole amount.
| Portion of price | Rate |
|---|---|
| Up to £125,000 | 0% |
| £125,001 – £250,000 | 2% |
| £250,001 – £925,000 | 5% |
| £925,001 – £1,500,000 | 10% |
| Over £1,500,000 | 12% |
First-time buyer relief
If you have never owned a residential property anywhere in the world, you may qualify for first-time buyer SDLT relief on purchases up to £500,000. You pay 0% on the first £300,000 and 5% on the portion from £300,001 to £500,000.
If the price exceeds £500,000, first-time buyer relief is lost entirely and standard rates apply to the whole price — a sharp cliff that catches some buyers in expensive areas.
- £250,000 first home: £0 stamp duty.
- £400,000 first home: 5% on £100,000 = £5,000.
- £550,000 first home: no relief — standard rates apply (~£17,500).
Additional property surcharge
Buying a second home, a holiday property or a buy-to-let adds a 5 percentage point surcharge on each band (for properties of £40,000 or more). This applies even if it is your first purchase of that particular property — what matters is that you already own another dwelling.
Married couples and civil partners are treated as one unit: if either owns a property, the surcharge usually applies to a joint purchase unless you are replacing your main residence.
Worked examples at common price points
For a £350,000 home bought by a standard mover (not first-time, not additional): 0% on £125,000, 2% on £125,000 (£2,500), 5% on £100,000 (£5,000) = £7,500 total SDLT.
The same £350,000 as a buy-to-let with the 5% surcharge: each band rate is 5 percentage points higher, producing a substantially larger bill — use the Stamp Duty Calculator to compare buyer types side by side.
When and how you pay
SDLT must be reported and paid within 14 days of completion. Your conveyancer typically files the return and pays HMRC on your behalf. Budget for stamp duty alongside your deposit, survey, searches and legal fees.
First-time buyers saving for a deposit should not forget stamp duty — on a £400,000 purchase it is £5,000 even with relief.
Calculate your stamp duty
Use our Stamp Duty Calculator to work out SDLT for standard, first-time and additional-property purchases at any price. Pair it with the Mortgage Affordability Calculator to see total upfront buying costs.
Frequently asked questions
- Do first-time buyers pay stamp duty?
- First-time buyers pay no SDLT on the first £300,000 of a property priced up to £500,000. Above £300,000 they pay 5% on the portion up to £500,000. Above £500,000, relief is lost and standard rates apply to the entire price.
- How much is stamp duty on a £400,000 house?
- For a standard home mover: about £10,000. For a first-time buyer: £5,000 (5% on the £100,000 above £300,000). For an additional property: roughly £30,000 including the 5% surcharge — use the calculator for an exact figure.
- Is stamp duty different in Scotland and Wales?
- Yes. Scotland uses LBTT and Wales uses LTT, each with its own thresholds and rates. This guide and our calculator cover SDLT for England and Northern Ireland only.
- Can I add stamp duty to my mortgage?
- Some lenders allow borrowing slightly above the purchase price to cover stamp duty, but this reduces your deposit percentage and increases monthly repayments. Not all lenders offer this, and it increases your loan-to-value ratio.
Try the calculator
Put this into numbers with our free UK calculators.
Need free help? See our useful UK resources including MoneyHelper and StepChange.