Stamp Duty Land Tax is paid when you buy residential property in England and Northern Ireland above certain thresholds. The amount you pay depends on the purchase price, whether you are a first-time buyer, whether it is an additional property, and whether you are a non-UK resident.
Standard Rates for 2025/26
For residential purchases that are not your first property, the rates are 0% on the first £125,000, 2% on the portion from £125,001 to £250,000, 5% from £250,001 to £925,000, 10% from £925,001 to £1,500,000, and 12% on anything above £1,500,000.
First-Time Buyer Relief
First-time buyers benefit from a higher nil-rate band. You pay no SDLT on the first £300,000, and 5% on the portion from £300,001 to £500,000. If the property costs more than £500,000, you lose the first-time buyer relief entirely and pay the standard rates.
To qualify, you must never have owned a residential property anywhere in the world, and you must intend to live in the property as your main home.
Additional Property Surcharge
If you already own a residential property and are buying another — whether as a buy-to-let investment, a holiday home, or even if you have not yet sold your previous home — you pay a 5% surcharge on top of the standard rates. This applies from the first pound, so a £300,000 second property would attract an additional £15,000 in SDLT.
If you sell your previous main home within 36 months, you can claim a refund of the surcharge.
Non-Resident Surcharge
Non-UK residents pay an additional 2% surcharge on top of all other rates when purchasing residential property in England and Northern Ireland. This applies to individuals who have not been resident in the UK for at least 183 days in the 12 months before the purchase.
Use our stamp duty calculator to calculate exactly what you will owe on your property purchase.
M. Samiuddin QUADRI is a chartered certified accountant at Gladstone & Co. Accountants, advising clients on property transactions and tax planning.