Stamp Duty Changes in 2025

In England and Northern Ireland, Stamp Duty Land Tax (SDLT) is payable when you buy property or land over a certain price threshold. The SDLT return must be submitted to HMRC and the tax paid within 14 days of the property completion.

Typically, if you have a solicitor, agent, or conveyancer handling your purchase, they will file the SDLT return and pay the tax on your behalf, adding the cost to their fees on the day of completion. 

Starting in April, SDLT will apply when purchasing:

• A single residential property valued at over £125,000
• A residential property valued over £300,000 for first-time buyers (FTBs)
• Non-residential land or properties with a purchase price exceeding £150,000

It’s important to be aware of these thresholds and requirements to ensure timely and accurate payment of SDLT when making property purchases.

Stamp Duty Surcharges

If someone buys an additional residential property, meaning they will own more than one, they will be required to pay an extra 5% surcharge on top of the usual SDLT rates. Additionally, if you are an overseas buyer purchasing property in the UK, a 2% surcharge will be added to the SDLT rates that apply to your purchase.

First-time buyers can continue to take advantage of a stamp duty threshold, allowing them to avoid stamp duty on properties costing up to £300,000. However, for properties priced between £300,001 and £500,000, a 5% tax is applied on the portion above the threshold. Normal stamp duty rates apply for properties costing over £500,000, and they don’t receive the stamp duty relief.