Everything you need to know about stamp duty in 2026 — current SDLT rates, the 5% additional property surcharge, first-time buyer relief, and a free calculator to work out exactly what you'll pay. No sign-up required.
Stamp Duty Land Tax (SDLT) is a tax on property purchases in England and Northern Ireland. It is charged in bands — you pay 0% on the first £125,000, 2% on £125,001–£250,000, 5% on £250,001–£925,000, 10% on £925,001–£1.5m, and 12% above that. First-time buyers pay 0% up to £300,000. Anyone buying an additional residential property — a second home, buy-to-let, or investment property — pays a 5% surcharge on top of standard rates across the full purchase price. SDLT must be paid within 14 days of completion.
Stamp Duty Land Tax (SDLT) is the tax you pay when you buy a residential property in England or Northern Ireland. It applies to freehold and leasehold purchases, and to transfers of existing leases. Scotland and Wales have their own equivalent taxes — LBTT and LTT respectively — with different rates.
SDLT is progressive and banded — like income tax, you only pay the higher rate on the portion of the price that falls within each band, not on the whole amount. This is the most commonly misunderstood aspect of stamp duty.
The key change in recent years was in October 2024 when the government raised the additional property surcharge from 3% to 5%. That rate remains in place throughout 2026 and significantly affects anyone buying a second home or investment property.
| Property Value Band | SDLT Rate 2026 | Tax on that Band |
|---|---|---|
| £0 – £125,000 | 0% | £0 |
| £125,001 – £250,000 | 2% | Up to £2,500 |
| £250,001 – £925,000 | 5% | Up to £33,750 |
| £925,001 – £1,500,000 | 10% | Up to £57,500 |
| Above £1,500,000 | 12% | 12% on excess |
| Property Value Band | FTB Rate 2026 | Notes |
|---|---|---|
| £0 – £300,000 | 0% | Full relief — no SDLT |
| £300,001 – £500,000 | 5% | On portion above £300k only |
| Above £500,000 | Standard rates apply | Relief lost entirely above £500k |
| Property Value Band | Rate (Standard + 5% Surcharge) |
|---|---|
| £0 – £125,000 | 5% (0% + 5%) |
| £125,001 – £250,000 | 7% (2% + 5%) |
| £250,001 – £925,000 | 10% (5% + 5%) |
| £925,001 – £1,500,000 | 15% (10% + 5%) |
| Above £1,500,000 | 17% (12% + 5%) |
If you are buying a second home, a buy-to-let, or any additional residential property in 2026, you pay a 5% surcharge on top of standard SDLT rates — applied across the entire purchase price from the first pound.
This is not a threshold tax. It applies from £1, not just above a certain price. On a £300,000 additional property, the surcharge alone is £15,000 — nearly trebling the SDLT compared to a standard purchase (£5,000).
The surcharge was increased from 3% to 5% in the Autumn Budget of October 2024 and has remained at 5% since. There was no change to this rate in the 2026 budget.
The surcharge applies if, at the end of the day of completion, you own two or more residential properties anywhere in the world. This includes properties abroad. It does not matter whether the additional property is mortgaged, owned outright, or inherited.
There is one scenario where you can get it back. If you paid the surcharge because you temporarily owned two homes while moving — i.e. you bought a new main residence before selling the old one — you can reclaim the 5% surcharge from HMRC provided you sell the original property within 3 years of completing the new purchase. You must apply for the refund within 12 months of selling the old property.
Enter the property price and buyer type for an instant SDLT calculation with a full band breakdown.
CalcHubUK has a mortgage calculator, affordability calculator, and take-home pay calculator — everything you need to plan a property purchase in one place.
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