Answers · UK 2025/26
How much Stamp Duty Land Tax do first-time buyers pay in 2026/27?
First-time buyers in England pay 0% SDLT on the first GBP 425,000, then 5% on GBP 425,001-GBP 625,000. No relief on properties above GBP 625,000. Example: GBP 500,000 purchase costs GBP 3,750 in SDLT vs GBP 15,000 for a non-first-time buyer. All buyers in the transaction must be first-time buyers.
Full answer
First-time buyer Stamp Duty Land Tax (SDLT) relief in England reduces the tax payable when purchasing a first home, making lower and mid-range properties significantly cheaper to buy. First-time buyer SDLT rates in England (2026/27) -- GBP 0 - GBP 425,000: 0% (nil rate) -- GBP 425,001 - GBP 625,000: 5% -- Above GBP 625,000: full standard residential rates apply (no relief) Note: these thresholds were set in September 2022. The standard (non-first-time-buyer) residential nil rate threshold returned to GBP 125,000 after a temporary increase expired in March 2025. Standard residential SDLT rates for comparison (2026/27) -- GBP 0 - GBP 125,000: 0% -- GBP 125,001 - GBP 250,000: 2% -- GBP 250,001 - GBP 925,000: 5% Worked example: GBP 500,000 purchase First-time buyer: -- GBP 425,000 at 0% = GBP 0 -- GBP 75,000 at 5% = GBP 3,750 -- Total SDLT: GBP 3,750 Non-first-time buyer (no surcharge): -- GBP 125,000 at 0% = GBP 0 -- GBP 125,000 at 2% = GBP 2,500 -- GBP 250,000 at 5% = GBP 12,500 -- Total SDLT: GBP 15,000 Qualifying as a first-time buyer A first-time buyer is an individual who has never owned a residential property anywhere in the world, either alone or jointly. If purchasing jointly, all buyers must be first-time buyers for the relief to apply. Scotland and Wales Scotland uses Land and Buildings Transaction Tax (LBTT) and Wales uses Land Transaction Tax (LTT) with their own first-time buyer reliefs and thresholds, which differ from English SDLT.
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This answer is informational only and does not constitute financial, tax or legal advice. Figures are for the 2025/26 UK tax year. See our methodology and sources.