- Stamp Duty Land Tax, SDLT
- the tax paid when you buy property or land over a threshold in England and Northern Ireland. Scotland charges LBTT and Wales charges LTT instead.
- Banded, progressive tax
- you pay each rate only on the slice of the price that falls in that band, not one rate on the whole price.
- Nil-rate band
- the portion charged at 0%, which is £125,000 for standard buyers and £300,000 for first-time buyers.
- First-time buyer relief
- 0% to £300,000 and 5% from £300,001 to £500,000, withdrawn entirely if the price is above £500,000.
- Additional-property surcharge
- an extra 5% on every band for a second home or buy-to-let, on top of the standard rates.
Key facts
- Standard nil-rate band is £125,000 and first-time buyer relief runs to £300,000 for 2026/27
- Additional-property surcharge is 5% on every band from 31 October 2024
- Rates have applied since 1 April 2025 when temporary higher thresholds ended
- No new SDLT changes were announced for 2026
Work out your exact bill with the stamp duty calculator, and if you are buying to rent, size the return with the buy to let calculator and rental yield guide.
Landlords should also read how rental profit is taxed in buy to let tax changes guide, because stamp duty is only the entry cost.
Standard SDLT rates from 1 April 2025 (England and Northern Ireland)
| Property price band | Rate |
|---|---|
| Up to £125,000 | 0% |
| £125,001 to £250,000 | 2% |
| £250,001 to £925,000 | 5% |
| £925,001 to £1,500,000 | 10% |
| Over £1,500,000 | 12% |
Tax is charged on the portion of the price falling within each band, not on the total purchase price.
First-time buyer rates from 1 April 2025
| Property price band | Rate for first-time buyers |
|---|---|
| Up to £300,000 | 0% |
| £300,001 to £500,000 | 5% |
| Over £500,000 | Standard rates apply in full |
Important
First-time buyer relief is completely withdrawn for properties priced above £500,000. A first-time buyer purchasing at £501,000 pays full standard rates on the entire amount with no relief whatsoever.Stamp Duty Calculator
Get an instant SDLT breakdown at any purchase price for all buyer types.
SDLT at common purchase prices: worked examples
| Purchase price | Standard buyer | First-time buyer | Saving |
|---|---|---|---|
| £200,000 | £1,500 | £0 | £1,500 |
| £250,000 | £2,500 | £0 | £2,500 |
| £300,000 | £5,000 | £0 | £5,000 |
| £400,000 | £10,000 | £5,000 | £5,000 |
| £500,000 | £15,000 | £10,000 | £5,000 |
| £600,000 | £20,000 | £20,000 (no relief above £500k) | £0 |
| £750,000 | £27,500 | £27,500 | £0 |
How the £300,000 example is calculated (standard buyer)
0% on first £125,000 = £0
2% on £125,001 to £250,000 = £2,500
5% on £250,001 to £300,000 = £2,500
Total: £5,000
Additional property surcharge: buy-to-let and second homes
From 31 October 2024, the additional property surcharge increased from 3% to 5%. This applies to:
- Buy-to-let purchases
- Second homes (including holiday homes)
- Purchases where the buyer already owns residential property anywhere in the world
The surcharge is added on top of the standard rates on every band of the property price.
Example: buy-to-let at £250,000
Standard SDLT: £2,500
Additional 5% surcharge on full £250,000: £12,500
Total SDLT: £15,000
For landlords and investors assessing the viability of property purchases, the additional 5% surcharge represents a very significant upfront cost that materially affects return on investment calculations. See the Buy-to-Let Calculator to model total returns including stamp duty.
How was SDLT calculated before April 2025?
The temporary increases introduced in September 2022, with the nil-rate band at £250,000 and first-time buyer relief at £425,000, expired on 31 March 2025. From 1 April 2025, thresholds reverted to the pre-September 2022 levels. This was well-flagged in advance, which drove a significant rush of completions in Q1 2025 as buyers tried to beat the deadline.
The end of the stamp duty holiday created a meaningful increase in purchase costs for the mid-range market:
- A standard buyer at £300,000 saw their SDLT bill increase from £2,500 to £5,000 (a £2,500 increase)
- A first-time buyer at £400,000 saw their SDLT increase from £0 to £5,000
- A first-time buyer at £425,000 saw their bill increase from £0 to £6,250
Expert Tip
If you are buying property in Scotland, Land and Buildings Transaction Tax (LBTT) applies with different thresholds. In Wales, Land Transaction Tax (LTT) applies. Neither uses the SDLT system described here. Always confirm which tax applies based on where the property is located, not where you live.Payment and administration
SDLT must be paid within 14 days of completion of the purchase. In practice, your solicitor or conveyancer handles this on your behalf, submitting the SDLT return and payment from the completion funds. Failure to pay on time results in automatic interest charges and penalties.
Can you add stamp duty to your mortgage?
Some lenders allow this, but it is generally not advisable. Adding £10,000 of stamp duty to a 25-year mortgage at 4.5% costs approximately £8,300 in additional interest over the term. Most financial advisers recommend paying stamp duty from savings rather than borrowing it, though this depends on individual cash flow.
Calculating your total upfront property purchase costs
SDLT is not the only upfront cost. A realistic budget for a £300,000 purchase:
| Cost | Estimate |
|---|---|
| Stamp duty (standard buyer) | £5,000 |
| Solicitor/conveyancer fees | £1,200 to £2,000 |
| Survey (homebuyer report) | £400 to £700 |
| Mortgage arrangement fee | £0 to £2,000 (varies) |
| Land Registry fee | £300 |
| Searches | £300 to £500 |
| Moving costs | £1,000 to £3,000 |
| Total additional costs | £8,200 to £13,500 |
This means a buyer of a £300,000 property needs a deposit plus approximately £8,000 to £13,000 in cash costs on top, before any renovation or furnishing budget.
Official sources
Related Calculators
Frequently Asked Questions
From 1 April 2025, the nil-rate band returned to £125,000. No SDLT is payable on the first £125,000 of the purchase price. The standard rate of 2% applies from £125,001 to £250,000.
First-time buyers pay no SDLT on properties up to £300,000. On properties between £300,001 and £500,000, they pay 5% on the portion above £300,000 only. For properties above £500,000, first-time buyer relief does not apply.
An additional 5% surcharge applies on top of standard rates on every band of the purchase price. A second home at £300,000 attracts £5,000 standard SDLT plus £15,000 surcharge, totalling £20,000.
14 days from completion. Your solicitor typically handles this, deducting the amount from your completion funds.
On a £500,000 main home in 2026/27 a standard buyer pays £15,000, made up of 0% on the first £125,000, 2% on the next £125,000 and 5% on the next £250,000. A first-time buyer pays £10,000. An additional property pays £40,000 once the 5% surcharge is added.
The additional-property surcharge rose from 3% to 5% on 31 October 2024, and the standard nil-rate band returned from £250,000 to £125,000 on 1 April 2025 when the temporary thresholds ended. No new SDLT changes were announced for 2026, so the same rates apply through 2026/27.
A company buying a dwelling pays the 5% additional-property surcharge on every band, the same as an individual second-home buyer, for properties up to £500,000. Above £500,000 a flat 17% corporate rate can apply unless the purchase qualifies for property-rental-business relief.
Yes. Scotland charges Land and Buildings Transaction Tax with its own bands and an 8% Additional Dwelling Supplement, and Wales charges Land Transaction Tax with a 5% higher-rate surcharge. SDLT applies only in England and Northern Ireland.
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James Hartley is a CIMA qualified financial analyst and Founder and Lead Financial Analyst at WhatsUK, with 8+ years in UK tax, payroll, and compliance. He builds every calculator on WhatsUK and authors all editorial content, ensuring every figure is verified against official HMRC sources before publication.
Sources & Official References
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Disclaimer: This calculator provides estimates based on standard HMRC rates for 2026/27. Results may vary based on individual circumstances. This is not financial advice. Always consult a qualified accountant or CIMA-qualified financial adviser for personal tax matters.