Glossary · UK
What is Mixed-Use Property (SDLT)?
A property containing both residential and commercial elements, qualifying for non-residential SDLT rates (max 5%) rather than the higher residential rates.
Full Definition
For Stamp Duty Land Tax (SDLT) purposes, a mixed-use property in England and Northern Ireland contains both residential and non-residential elements -- for example, a shop with a flat above, a pub with living quarters, or a farm with a farmhouse and commercial buildings. SDLT treatment: non-residential rates apply to the whole property (0% up to GBP 150,000; 2% on GBP 150,001-250,000; 5% above GBP 250,000). This can be significantly cheaper than residential rates. The 5% additional dwellings surcharge does NOT apply to mixed-use transactions. Following the abolition of Multiple Dwellings Relief in June 2024, mixed-use status is the main remaining SDLT planning strategy for unusual purchases. HMRC challenges claims where the commercial element is minimal or contrived. LBTT (Scotland) and LTT (Wales) have their own mixed-use rules.