Stamp Duty Changes 2025: Increased Costs for England & Northern Ireland Home Buyers
Home buyers in England and Northern Ireland face increased Stamp Duty Land Tax (SDLT) from April 1st, 2025, as temporary thresholds revert to their original levels.
This change has led to a rush of property transactions before the deadline, with some deals falling through due to delays.
What is Stamp Duty Land Tax (SDLT)?
SDLT is a tax paid when purchasing property or land above a certain price in England and Northern Ireland. It applies to:
- Freehold property purchases
- Leasehold property purchases (new or existing)
- Shared ownership schemes
- Mortgage acquisitions or buying a share in a house
The amount owed depends on the property’s cost, residential status, and whether the buyer owns other properties.
Stamp Duty Rates: Current vs. Post-April 1st, 2025
Current Rates (Until March 31st, 2025):
- £0 – £250,000 (or £425,000 for most first-time buyers): 0%
- £250,001 – £925,000: 5%
- £925,001 – £1.5 million: 10%
- £1.5 million+: 12%
Rates from April 1st, 2025:
- £0 – £125,000 (or £300,000 for most first-time buyers): 0%
- £125,001 – £250,000: 2%
- £250,001 – £925,000: 5%
- £925,001 – £1.5 million: 10%
- £1.5 million+: 12%
An example of someone purchasing a property before April at £350,000 would have paid £5000; they will now have to pay £7500.
Use this calculator to work out how much you will pay
Read about the tax changes coming in 2025
Additional Stamp Duty for Second Homes:
Buyers owning an existing residential property worth £40,000 or more will pay an additional 5% on properties up to £125,000, with higher rates for more expensive purchases, from April 1st, 2025
When do you have to pay Stamp Duty?
You have 14 days from the date of completion in England and Northern Ireland to pay stamp duty, external.
In Scotland and Wales, you have 30 days from the point of purchase to pay the tax due.
If it takes longer, you could face a fine or be charged interest on the amount you owe.
How do you pay?
House buyers often pay via their solicitors, but you can also pay directly online, by cheque, or in cash at many banks.
