How SDLT works
Stamp Duty Land Tax applies to property purchases in England and Northern Ireland only. Scotland uses LBTT, Wales uses LTT. SDLT is a banded tax — each rate applies only to the portion of price within that band, not the whole price.
Standard rates — April 2025 onwards
| Band | Standard rate | BTL / 2nd home |
|---|---|---|
| £0 – £125,000 | 0% | 5% |
| £125,001 – £250,000 | 2% | 7% |
| £250,001 – £925,000 | 5% | 10% |
| £925,001 – £1,500,000 | 10% | 15% |
| Over £1,500,000 | 12% | 17% |
Higher residential rates — October 2024
The higher residential rates add 5 percentage points to the standard bands. They usually apply when a purchase leaves an individual owning more than one dwelling, and companies generally pay them on residential acquisitions. The supplement increased from 3 to 5 percentage points on 31 October 2024.
For transactions below £40,000 the higher-rates rules do not apply. At £40,000 or more, ownership across the buyer, spouse or civil partner and certain other interests can affect the test; replacing a main residence is a separate exception.
First-time buyer relief
| Band | FTB rate (from Apr 2025) |
|---|---|
| £0 – £300,000 | 0% |
| £300,001 – £500,000 | 5% |
| Over £500,000 | Standard rates — no relief |
Relief requires every buyer to be a qualifying first-time buyer and the property to be acquired as a main residence. Purchases above £500,000 receive no first-time buyer relief.
Non-UK resident surcharge
The 2% surcharge uses a specific SDLT residence test, not simply nationality or ordinary tax residence, and can sit on top of other applicable rates.
An SDLT return and any tax due are normally required within 14 days of the effective date; a solicitor or conveyancer often files for the buyer. Funding arrangements are lender-specific. Use the calculator for standard scenarios and verify special cases.