Stamp duty is one of the largest upfront costs when buying property in the UK. The name is a holdover from an era of physical stamps, but the tax is very much alive — and the rules vary significantly depending on which nation of the UK you are buying in.
Use the Stamp Duty Calculator to get an instant figure based on your purchase price, location, and buyer status.
Three Different Systems, One Island
Since 2015, the UK has had three separate land transaction taxes:
- England and 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 (WRA)
If you are buying in Scotland or Wales, you are not paying SDLT. The calculators, thresholds, and rates are all different.
SDLT Rates for England (2026)
Standard residential SDLT rates apply to completions after 1 October 2021:
| Purchase price | Rate |
|---|---|
| Up to £250,000 | 0% |
| £250,001 – £925,000 | 5% |
| £925,001 – £1,500,000 | 10% |
| Above £1,500,000 | 12% |
SDLT is applied as a slice tax — you only pay the rate on the portion of the purchase price within each band.
Worked example — buying at £400,000 in England:
- £0 on the first £250,000 = £0
- 5% on £150,000 (£250,001–£400,000) = £7,500
- Total SDLT: £7,500
First-Time Buyer Relief in England
First-time buyers purchasing a property for £625,000 or less get a significant discount:
| Purchase price (FTB) | Rate |
|---|---|
| Up to £425,000 | 0% |
| £425,001 – £625,000 | 5% |
| Above £625,000 | No relief — standard rates apply |
Worked example — first-time buyer at £400,000:
- £0 on the first £425,000 = £0
To qualify, neither buyer can have previously owned residential property anywhere in the world. This applies even if the prior ownership was through inheritance or as a joint owner.
Additional Property Surcharge (England)
If you are buying a second home, buy-to-let property, or any property while owning another, a 3% surcharge applies to every band:
| Purchase price | Standard rate | Additional property rate |
|---|---|---|
| Up to £250,000 | 0% | 3% |
| £250,001 – £925,000 | 5% | 8% |
| £925,001 – £1,500,000 | 10% | 13% |
| Above £1,500,000 | 12% | 15% |
The surcharge applies to the whole purchase price, not just the portion above a threshold.
Worked example — buy-to-let at £250,000:
- 3% on £250,000 = £7,500
You can reclaim the surcharge if you sell your previous main residence within three years of the new purchase (or within three years of factors preventing an earlier sale, in certain circumstances).
LBTT Rates for Scotland
| Purchase price | Rate |
|---|---|
| Up to £145,000 | 0% |
| £145,001 – £250,000 | 2% |
| £250,001 – £325,000 | 5% |
| £325,001 – £750,000 | 10% |
| Above £750,000 | 12% |
First-time buyers in Scotland benefit from an increased nil-rate band of £175,000. The Additional Dwelling Supplement (ADS) in Scotland is 6% on the entire purchase price — higher than the English surcharge.
LTT Rates for Wales
| Purchase price | Rate |
|---|---|
| Up to £225,000 | 0% |
| £225,001 – £400,000 | 6% |
| £400,001 – £750,000 | 7.5% |
| £750,001 – £1,500,000 | 10% |
| Above £1,500,000 | 12% |
Wales does not offer a specific first-time buyer LTT relief. The Higher Rates surcharge in Wales is 4% on the total purchase price.
When Do You Pay Stamp Duty?
| Nation | Deadline | Administrator |
|---|---|---|
| England / NI | 14 days after completion | HMRC |
| Scotland | 30 days after effective date | Revenue Scotland |
| Wales | 30 days after effective date | Welsh Revenue Authority |
Your solicitor or conveyancer handles the filing and payment on your behalf. Late submissions attract automatic penalties.
Can You Reduce Your Stamp Duty?
Legally, yes. Common strategies include:
- First-time buyer relief — ensure both buyers qualify before claiming
- Multiple dwellings relief (MDR) — if you buy multiple properties in one transaction, you may be able to calculate SDLT on the average price
- Mixed-use property — commercial rates (which include a 0% band up to £150,000) may apply to genuinely mixed residential/commercial purchases
- Furniture allocation — allocating a reasonable portion of the purchase price to fixtures, fittings, and furniture that are not fixtures reduces the property value for SDLT purposes, but HMRC scrutinises overinflation
Aggressive schemes that claim to minimise SDLT entirely are regularly challenged by HMRC and Revenue Scotland.
Common Mistakes
- Assuming you are a first-time buyer when you own property abroad or have done previously
- Forgetting the surcharge when already owning a property, even if you plan to sell it
- Not checking which nation's rules apply — Scotland and Wales have their own systems
- Confusing the filing deadline — 14 days in England is short; solicitors typically file on completion day
Use the Stamp Duty Calculator to model your exact liability before making an offer.