SDLT Temporary Reduction Expires
If you are buying a property after 1 April 2025, you’ll lose the opportunity to benefit from the temporary reduction in the normal Stamp Duty Land Tax (SDLT) – where the first £250,000 is charged at nil – as it expires on 31 March.
You usually pay SDLT on increasing portions of the property price when you buy residential property. The amount you pay depends on when you bought the property, how much you paid for it and whether you’re eligible for relief or an exemption.
The then Chancellor, Rishi Sunak, introduced the temporary SDLT relief to stimulate the housing market during the Covid 19 pandemic, followed by Kwasi Kwarteng announcing a permanent reduction to SDLT. Then, in Labour’s Budget, last October, the new Chancellor Rachel Reeves, announced the 1 April change. At that time, she also immediately increased the rates of SDLT on the purchase of additional dwellings by 2%.
These are the new rates from 1 April 2025:
Up to £125,000 – Zero
£125,001 to £250,000 – 2%
£250,001 to £925,000 – 5%
£925,001 to £1.5 million – 10%
Above £1.5 million – 12%
If you’ve got any questions, please call us on: 01892 513515.