Stamp Duty Explained UK 2026
Everything you need to know about UK stamp duty — SDLT, LBTT and LTT — including the April 2025 changes, first-time buyer relief and buy-to-let surcharge. Clear, jargon-free.
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Stamp duty is a tax you pay when you buy a property. The name varies by UK nation:
- England & Northern Ireland: Stamp Duty Land Tax (SDLT) — collected by HMRC
- Scotland: Land and Buildings Transaction Tax (LBTT) — collected by Revenue Scotland
- Wales: Land Transaction Tax (LTT) — collected by the Welsh Revenue Authority
All three work on the same principle: a progressive tax applied to different portions of the purchase price. You don't pay one flat rate — each portion of the price falling within a band is taxed at that band's rate.
England & Northern Ireland: SDLT Rates 2025/26
The standard residential SDLT rates from 1 April 2025:
| Property Price | Standard Rate | First-Time Buyer | BTL / 2nd Home |
|---|---|---|---|
| Up to £125,000 | 0% | 0% | 5% |
| £125,001 – £250,000 | 2% | 0% | 7% |
| £250,001 – £300,000 | 5% | 0% | 10% |
| £300,001 – £500,000 | 5% | 5% | 10% |
| £500,001 – £925,000 | 5% | Standard rates* | 10% |
| £925,001 – £1,500,000 | 10% | 10% | 15% |
| Over £1,500,000 | 12% | 12% | 17% |
*First-time buyer relief is lost entirely for properties over £500,000 — standard rates apply with no relief.
SDLT Worked Example — £350,000 Standard Purchase
- 0% on first £125,000 = £0
- 2% on £125,001–£250,000 (£125,000) = £2,500
- 5% on £250,001–£350,000 (£100,000) = £5,000
- Total SDLT: £7,500 (effective rate: 2.14%)
- Standard nil-rate band: £250,000 → £125,000 (COVID relief ended)
- First-time buyer nil-rate: £425,000 → £300,000
- First-time buyer upper limit: £625,000 → £500,000
- BTL/second home surcharge: 3% → 5% (raised October 2024 Budget)
Scotland: LBTT Rates 2025/26
| Property Price | Standard Rate | First-Time Buyer | Additional Dwelling (ADS) |
|---|---|---|---|
| Up to £145,000 | 0% | 0% | +8% |
| £145,001 – £250,000 | 2% | 0% (up to £175k) | +8% |
| £250,001 – £325,000 | 5% | 5% | +8% |
| £325,001 – £750,000 | 10% | 10% | +8% |
| Over £750,000 | 12% | 12% | +8% |
Scotland's Additional Dwelling Supplement (ADS) is 8% — the highest BTL surcharge in the UK. First-time buyers can claim relief on the portion up to £175,000.
Wales: LTT Rates 2025/26
| Property Price | Standard Rate | Higher Rate (BTL) |
|---|---|---|
| Up to £225,000 | 0% | 4% |
| £225,001 – £400,000 | 6% | 10% |
| £400,001 – £750,000 | 7.5% | 11.5% |
| £750,001 – £1,500,000 | 10% | 14% |
| Over £1,500,000 | 12% | 16% |
Wales has no first-time buyer relief for LTT. The nil-rate band is the highest in the UK at £225,000.
Buy-to-Let Stamp Duty: The 5% Surcharge
From 31 October 2024, anyone buying a buy-to-let property or second home in England and Northern Ireland pays an additional 5% on top of standard SDLT rates on every band. This was raised from 3% as part of the Autumn Budget.
Example: £300,000 BTL purchase in England
Standard SDLT: £5,000 + BTL surcharge (5% of £300,000): £15,000 = £20,000 total
If you are replacing your main residence (selling your old home within 3 years of buying the new one), you may be exempt from the surcharge or eligible for a refund.
FAQs
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Stamp Duty Calculator →⚠️ This guide is for informational purposes only. Verify all stamp duty figures with HMRC or your solicitor before completing a purchase. Rates correct as of May 2026.