The UK government’s stamp duty holiday (or rather, threshold adjustments) came into effect in April 2026. If you’re buying a home — especially as a first-time buyer — the changes could save you thousands. Here’s the breakdown.
What Changed
From April 2026, the stamp duty land tax (SDLT) thresholds were adjusted:
| Buyer Type | Previous Nil-Rate Band | New Nil-Rate Band |
|---|---|---|
| First-time buyers | Up to £425,000 | Up to £500,000 |
| Home movers | Up to £250,000 | Up to £300,000 |
| Additional homes | No change | +3% surcharge remains |
First-Time Buyers: The Big Win
First-time buyers now pay zero stamp duty on properties up to £500,000. For a £450,000 home, that’s a saving of up to £10,000 compared to the previous rules.
- 0% on the first £500,000
- 5% on the portion from £500,001 to £625,000
- Above £625,000, standard rates apply
Home Movers: Moderate Relief
If you’re moving up the ladder, the nil-rate band increase from £250,000 to £300,000 means:
- £0 on the first £300,000
- £2,500 saved on a £400,000 purchase vs previous rules
- Standard rates (5%–12%) apply above that
Additional Properties
The 3% surcharge on second homes and buy-to-let properties remains unchanged. No relief there.
Should You Rush to Buy?
The threshold changes are permanent, not temporary. There’s no urgency to complete before a deadline. That said:
- If you’re already looking and the new thresholds help, go ahead
- Don’t buy a worse property just to save on stamp duty
- Factor in mortgage rates, which remain elevated
Regional Differences
Scotland and Wales have separate land transaction taxes. The changes above apply to England and Northern Ireland only.
- Scotland (LBTT): First-time buyer relief up to £175,000
- Wales (LTT): Separate thresholds; check the Welsh Revenue Authority website
How to Claim
Your solicitor or conveyancer will handle the SDLT return. The relief is applied automatically — you don’t need to file anything extra.
The Fine Print
- You must intend to live in the property as your main home
- Joint buyers: if one person is a first-time buyer and the other isn’t, you may not qualify for full relief
- Properties over £625,000 don’t qualify for first-time buyer relief at all
Bottom Line
The 2026 stamp duty changes put more money in buyers’ pockets. First-time buyers benefit most. If you’re in the market for a home under £500,000, this is a good time to buy — but don’t let the tax tail wag the property dog.