How SDLT works
Stamp Duty Land Tax applies to property purchases in England and Northern Ireland only. Scotland uses LBTT, Wales uses LTT. SDLT is a banded tax — each rate applies only to the portion of price within that band, not the whole price.
Standard rates — April 2025 onwards
| Band | Standard rate | BTL / 2nd home |
|---|---|---|
| £0 – £125,000 | 0% | 5% |
| £125,001 – £250,000 | 2% | 7% |
| £250,001 – £925,000 | 5% | 10% |
| £925,001 – £1,500,000 | 10% | 15% |
| Over £1,500,000 | 12% | 17% |
BTL surcharge — October 2024
Buy-to-let and second home buyers pay a 5% surcharge on top of standard rates at every band. This was increased from 3% to 5% in October 2024.
£350,000 BTL purchase — post Oct 2024
£0–£125,000 @ 5%£6,250
£125,001–£250,000 @ 7%£8,750
£250,001–£350,000 @ 10%£10,000
Total SDLT£25,000
First-time buyer relief
| Band | FTB rate (from Apr 2025) |
|---|---|
| £0 – £300,000 | 0% |
| £300,001 – £500,000 | 5% |
| Over £500,000 | Standard rates — no relief |
FTB — £420,000 purchase
£0–£300,000 @ 0%£0
£300,001–£420,000 @ 5%£6,000
Standard rate (same property)£11,000
FTB saving£5,000
Non-UK resident surcharge
Buyers not UK resident at completion pay an additional 2% surcharge on top of all other applicable rates. Introduced April 2021, still in force.
Key point
SDLT must be paid within 14 days of completion — your conveyancer handles this. It cannot be added to the mortgage and must come from your own funds. Use the SDLT calculator for any purchase price.
Frequently asked questions
Does Scotland or Wales use SDLT?
No. Scotland uses LBTT and Wales uses LTT — both have different rates and bands. SDLT only applies to England and Northern Ireland.
What counts as a second home for the surcharge?
Any residential purchase where you will own two or more properties after completion. There is a replacement main residence exemption — if you sell your previous main home on the same day, no surcharge applies. You can claim a refund within 12 months of selling the old home.
Is SDLT payable on BTL remortgages?
No. SDLT is a tax on purchases (land transactions), not mortgage arrangements. Remortgaging does not trigger SDLT.
Can SDLT be added to the mortgage?
Most lenders do not allow this — SDLT must be paid from your own funds at completion.