What Is Stamp Duty Land Tax (SDLT)?
Stamp Duty Land Tax (SDLT) is a tax paid when buying residential or commercial property in England and Northern Ireland. Scotland has its own Land and Buildings Transaction Tax (LBTT) and Wales has Land Transaction Tax (LTT).
2026 Stamp Duty Rates for England & Northern Ireland
Standard residential rates (home movers):
| Property Price | SDLT Rate |
|---|---|
| Up to £250,000 | 0% |
| £250,001 – £925,000 | 5% |
| £925,001 – £1,500,000 | 10% |
| Over £1,500,000 | 12% |
SDLT is calculated on the portion of the price within each band — it is not flat-rate on the total price.
Example: £400,000 home (home mover)
- £250,000 × 0% = £0
- £150,000 × 5% = £7,500
- Total SDLT: £7,500
First-Time Buyer Relief 2026
First-time buyers benefit from a reduced SDLT threshold:
| Property Price | SDLT Rate |
|---|---|
| Up to £425,000 | 0% |
| £425,001 – £625,000 | 5% |
| Over £625,000 | Standard rates apply (no FTB relief) |
Example: £500,000 first-time buyer purchase
- £425,000 × 0% = £0
- £75,000 × 5% = £3,750
- Total SDLT: £3,750 (vs £12,500 at standard rates — saving of £8,750)
Second Home & Buy-to-Let Surcharge
A 3% SDLT surcharge applies to additional residential properties. This stacks on top of standard rates:
| Property Price | SDLT Rate (2nd home) |
|---|---|
| Up to £250,000 | 3% |
| £250,001 – £925,000 | 8% |
| £925,001 – £1,500,000 | 13% |
| Over £1,500,000 | 15% |
Scotland: Land and Buildings Transaction Tax (LBTT) 2026
Scotland's equivalent of SDLT has different thresholds:
| Property Price | LBTT Rate |
|---|---|
| Up to £145,000 | 0% |
| £145,001 – £250,000 | 2% |
| £250,001 – £325,000 | 5% |
| £325,001 – £750,000 | 10% |
| Over £750,000 | 12% |
First-time buyers in Scotland can claim relief up to £175,000 (0% on purchases up to £175,000).
Wales: Land Transaction Tax (LTT) 2026
| Property Price | LTT Rate |
|---|---|
| Up to £225,000 | 0% |
| £225,001 – £400,000 | 6% |
| £400,001 – £750,000 | 7.5% |
| £750,001 – £1,500,000 | 10% |
| Over £1,500,000 | 12% |
When Is Stamp Duty Due?
SDLT must be filed and paid within 14 days of completion. Your solicitor or conveyancer normally handles this on your behalf. Failure to pay on time results in interest and penalties.
Can You Add SDLT to Your Mortgage?
Some lenders allow SDLT to be added to the loan, but this is generally discouraged as you pay interest on the tax for the full mortgage term. A £7,500 SDLT amount added to a 25-year mortgage at 4.5% costs an additional ~£5,100 in interest over the life of the loan.
Use our UK Mortgage Calculator to see total purchase costs including SDLT.