Residential Stamp Duty Changes 2025

The chancellor recently announced changes to stamp duty thresholds that will come into effect after 31st March 2025.

The current nil rate band for residential home movers is £250,000. From April, this will reduce to the previous limit of £125,000, with a charge of 2% then applying up to £250,000. All other thresholds and charges above £250,000 will remain as now.

Up to 31st March bands:

£0 to £250,000- 0%

£250,000 to £925,000- 5%

£925,000 to £1.5m- 10%

£1.5m and above- 12%

A purchase price of £550,000 completing before 31/03/2025 has a charge of 0% up to £250,000 and 5% on £300,000. Final SDLT bill would be £15,000.

Post 31st March bands:

£0 to £125,000- 0%

£125,000 to £250,000- 2%

£250,000 to £925,000- 5%

£925,000 to£1.5m- 10%

£1.5m and above- 12%

A purchase price of £550,000 completing after 31/03/2025 has a charge of 0% up to £125,000, 2% on the next £125,000 and 5% on the remaining £300,000. Final SDLT bill would be £17,500.

Additional property owners and first-time-buyers will be impacted differently to the scenario above. For additional property purchase, those changes have already come into effect. Details on how first-time-buyers will be impacted can be found here.