UK Stamp Duty 2025: What You'll Pay
Buying property in England or Northern Ireland? Stamp duty will be one of your biggest upfront costs.
Getting this wrong can cost you thousands. First-time buyers pay different rates than regular buyers. Second home purchases have extra charges. Foreign buyers face additional surcharges.
This guide covers all the 2025 rates with real examples and clear numbers.
UK Stamp Duty Rates: Quick Summary (2025)
Rates change on April 1, 2025:
- Until March 31: Standard buyers pay nothing on the first £250,000. First-time buyers pay nothing up to £425,000.
- From April 1: Standard buyers pay nothing only up to £125,000 (plus a new 2% band). First-time buyers pay nothing up to £300,000.
- Second homes: Add 3% to every rate band.
- Non-UK residents: Add another 2% on top.
Buying before April saves money. The same property costs more in stamp duty after March 31st.
Quick Calculator Access
Want to know exactly what you'll pay? I've put together a stamp duty calculator that's updated with all the latest 2025 rates.
What Is Stamp Duty?
Stamp duty is a property tax in England and Northern Ireland. Higher price equals higher tax.
Your bill depends on the property price, whether you've bought before, if you own other properties, and your UK tax residency status.
⚠️ Important: Rates Change April 1, 2025
Big changes coming. Current stamp duty thresholds end March 31, 2025. From April 1st, thresholds drop significantly. Most buyers will pay more.
This guide covers both current rates (until March 31) and new rates (from April 1).
Current Stamp Duty Rates (Until March 31, 2025)
These rates reflect temporary relief ending March 31, 2025. The government raised thresholds to help buyers. This relief expires soon.
Standard Rates (Regular Home Buyers)
| Property Value | Tax Rate |
|---|---|
| Up to £250,000 | 0% |
| £250,001 to £925,000 | 5% |
| £925,001 to £1,500,000 | 10% |
| Above £1,500,000 | 12% |
First-Time Buyer Relief (Until March 31, 2025)
First property purchase:
- Up to £425,000: No stamp duty
- £425,001 to £625,000: 5% on amount above £425,000
- Above £625,000: No relief—pay standard rates
New Stamp Duty Rates (From April 1, 2025)
From April 1st, thresholds drop. Most buyers pay more.
Standard Rates (From April 2025)
| Property Value | Tax 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% |
| Above £1,500,000 | 12% |
First-Time Buyer Relief (From April 2025)
- Up to £300,000: 0% stamp duty
- £300,001 to £500,000: 5% on the amount above £300,000
- Above £500,000: No relief (pay standard rates)
How Much More Will You Pay After April 1st?
Example: £300,000 property
- Current rate (until March 31): £2,500
- New rate (from April 1): £5,000
- Difference: £2,500 more
Example: £400,000 first-time buyer
- Current rate (until March 31): £0
- New rate (from April 1): £5,000
- Difference: £5,000 more
Additional Property Surcharge (3%)
Already own a property and buying another? Add 3% to each rate band.
This applies if you:
- Own a property anywhere in the world
- Are buying a holiday home
- Are purchasing a buy-to-let
- Haven't sold your current home yet
How It Works
Take the standard rate for each band and add 3%. So:
Current (Until March 31, 2025):
- 0% becomes 3%
- 5% becomes 8%
- 10% becomes 13%
- 12% becomes 15%
From April 1, 2025:
- 0% becomes 3%
- 2% becomes 5%
- 5% becomes 8%
- 10% becomes 13%
- 12% becomes 15%
Non-UK Resident Surcharge (2%)
Not a UK tax resident? Add 2% on top of everything.
You're non-resident if you spent under 183 days in the UK during the 12 months before purchase.
How Stamp Duty Calculation Works
Stamp duty calculates in bands like income tax. You only pay the higher rate on the portion in that band.
Example: £300,000 purchase (current rates until March 31)
- First £250,000 at 0% = £0
- Remaining £50,000 at 5% = £2,500
- Total = £2,500
Same property from April 1, 2025:
- First £125,000 at 0% = £0
- Next £125,000 at 2% = £2,500
- Remaining £50,000 at 5% = £2,500
- Total = £5,000
Real Calculations: Current vs Future Rates
Scenario 1: £200,000 Property (Standard Buyer)
Current (until March 31): £0
From April 1: £1,500 (£75,000 × 2%)
Increase: £1,500
Scenario 2: £350,000 Property (Standard Buyer)
Current calculation:
- £0-£250k at 0% = £0
- £250k-£350k at 5% = £5,000
- Total: £5,000
From April 1:
- £0-£125k at 0% = £0
- £125k-£250k at 2% = £2,500
- £250k-£350k at 5% = £5,000
- Total: £7,500
Increase: £2,500
Scenario 3: £400,000 First-Time Buyer
Current (until March 31): £0 (under £425k threshold)
From April 1:
- £0-£300k at 0% = £0
- £300k-£400k at 5% = £5,000
- Total: £5,000
Increase: £5,000
Scenario 4: £450,000 First-Time Buyer
Current calculation:
- £0-£425k at 0% = £0
- £425k-£450k at 5% = £1,250
- Total: £1,250
From April 1:
- £0-£300k at 0% = £0
- £300k-£450k at 5% = £7,500
- Total: £7,500
Increase: £6,250
Scenario 5: £300,000 Second Home
Current calculation (additional property):
- £0-£250k at 3% (0% + 3%) = £7,500
- £250k-£300k at 8% (5% + 3%) = £4,000
- Total: £11,500
From April 1 (additional property):
- £0-£125k at 3% (0% + 3%) = £3,750
- £125k-£250k at 5% (2% + 3%) = £6,250
- £250k-£300k at 8% (5% + 3%) = £4,000
- Total: £14,000
Increase: £2,500
Scenario 6: £600,000 Non-UK Resident
Current calculation:
- Standard duty: £20,000
- 2% surcharge: £12,000
- Total: £32,000
From April 1:
- £0-£125k at 0% = £0
- £125k-£250k at 2% = £2,500
- £250k-£600k at 5% = £17,500
- Standard duty subtotal: £20,000
- 2% non-resident surcharge: £12,000
- Total: £32,000
No increase (same as current)
Ways to Reduce Your Stamp Duty Bill
✓ Complete before March 31, 2025 - If possible, exchange and complete before the rates increase
✓ Use first-time buyer relief - Make sure you qualify and your solicitor applies it
✓ Sell before you buy - Avoid the 3% additional property surcharge by completing the sale of your current home first
✓ Stay under thresholds - Consider properties just below the tax band changes (£125k, £250k, £300k for FTB)
✓ Consider equity transfers - In some cases, transferring equity rather than buying outright can reduce liability (get legal advice)
Common Questions
When do I pay stamp duty?
Within 14 days of completion. Your solicitor usually handles this.
Can I get a refund?
Only the 3% additional property surcharge can be refunded if you sell your previous home within 3 years.
What if I exchange before March 31 but complete after April 1?
The completion date determines which rates apply. If you complete on April 1st or later, you'll pay the higher rates.
Do these rates apply in Scotland and Wales?
No. Scotland has Land and Buildings Transaction Tax (LBTT), and Wales has Land Transaction Tax (LTT). This guide covers England and Northern Ireland only.
What if I'm gifted a property?
If there's no mortgage, usually no stamp duty. If you take over a mortgage, stamp duty may apply on the mortgage value.
Do new builds have different rates?
No, same rates apply.
Bottom Line
If you're buying before April 1, 2025, you're getting a better deal on stamp duty than people buying after that date. The difference can be thousands of pounds.
Factor stamp duty into your budget from the start. Don't just think about deposit and mortgage—that stamp duty payment is due within two weeks of getting your keys.
💡 Final tip: Use the calculator to get your exact figure based on your situation. Takes 30 seconds and shows you what you'll actually pay.