Stamp Duty on a £250,000 House 2026
Quick answer: a standard buyer pays £2,500. A first-time buyer pays £0. A second-home buyer pays £15,000. £250,000 is the exact top of the 2% band: each additional pound above triggers the 5% rate.
By buyer type at £250,000
| Buyer type | England + NI (SDLT) | Scotland (LBTT) | Wales (LTT) |
|---|---|---|---|
| Standard buyer | £2,500 | £2,100 | £1,500 |
| First-time buyer | £0 | £0 | £1,500 |
| Second home / additional property | £15,000 | £22,100 | £11,250 |
| Non-UK resident (standard) | £7,500 | £2,100 | £1,500 |
Wales LTT figure at £250,000 main residence is £1,500 (1.5% on £25,000 above £225,000 nil-rate, plus 5% on £0 - the 5% band doesn't kick in until £400,000). Wales LTT second-home figure uses the residential higher-rate schedule effective December 2024.
How the £2,500 standard SDLT is built
| Band | Rate | Taxable in this band | Tax due |
|---|---|---|---|
| £0 to £125,000 | 0% | £125,000 | £0 |
| £125,001 to £250,000 | 2% | £125,000 | £2,500 |
| Total | £2,500 | ||
Effective rate: 1.0% exactly. £250,000 is the unique price point where the marginal rate (2% in this band) coincidentally equals double the effective rate, because exactly half the price sits in the nil-rate band and half in the 2% band.
The 2% band ceiling, and why £250,001 still doesn't hurt
£250,000 sits at the exact top of the 2% SDLT band. The next pound spent moves into the 5% band, but only that next pound (and each subsequent pound up to £925,000) is taxed at 5%. The slice structure introduced in December 2014 by section 109 of the Finance Act 2014 means there is no cliff edge: a £250,001 purchase pays £2,500.05 in SDLT, not the £7,500 a slab-style structure would have charged.
Before 4 December 2014 SDLT was a slab tax, meaning the entire purchase price was taxed at a single rate determined by the highest band the price reached. A £250,000 purchase paid £2,500 (1% of £250,000); a £250,001 purchase paid £7,500.03 (3% of £250,001). This produced classic bunching at threshold prices, with sellers reluctant to list above them and buyers refusing to offer above them. The 2014 reform eliminated the bunching and the cliff edges, smoothing the SDLT curve.
See the historical rates page for the full timeline of SDLT structural reforms.
The temporary £250,000 holiday window (2022 to 2025)
From 23 September 2022 to 31 March 2025 the standard SDLT nil-rate threshold was temporarily raised from £125,000 to £250,000 by the September 2022 mini-budget. During this 30-month window a £250,000 main-residence purchase paid £0 SDLT. The threshold reverted to £125,000 on 1 April 2025 as the temporary measure expired (the Chancellor confirmed the expiry in the Autumn Statement 2024).
The reversion means buyers completing on or after 1 April 2025 pay £2,500 more on a £250,000 purchase than buyers who completed before. For first-time buyers the change was different: the FTB nil-rate band fell from £425,000 to £300,000, but a £250,000 purchase remained zero-rated for FTBs both before and after.
The reversion was announced 18 months in advance, but completion-day timing pressure pushed many purchases to close before midnight on 31 March 2025. GOV.UK guidance on the change sets out the transitional rules.
£250,000 across the three UK nations
Wales LTT is the cheapest at £1,500 because the LTT nil-rate band sits at £225,000 (£100,000 higher than England) so only £25,000 is taxable. Scotland LBTT is £2,100 because the £145,000 nil-rate band is £20,000 higher than England, with the 2% band running to £250,000 the same as England. England and Northern Ireland SDLT is the highest at £2,500.
For second-home buyers the ordering flips heavily in Scotland's disfavour: Scotland charges 8% ADS on the full £250,000 (£20,000) on top of standard LBTT (£2,100), giving £22,100 total. England charges £15,000. Wales charges £11,250. Scotland is therefore the worst UK nation for buy-to-let or second-home purchases at this price point.
See the side-by-side comparison pages: LBTT vs SDLT and LTT vs SDLT.
SDLT and mortgage affordability at £250,000
On a typical 90% LTV £250,000 purchase, the buyer needs a £25,000 deposit, £2,500 SDLT, around £1,500 solicitor + Land Registry + searches, and £400-£800 for a homebuyer survey. Total cash at completion is approximately £29,400 to £29,800. A £225,000 mortgage at 5% over 25 years costs around £1,315 per month.
If the buyer qualifies for FTB relief and saves the £2,500, that money typically goes back into the deposit, reducing the loan and lowering the monthly cost by around £14. Or it covers the survey and one to two months of buildings insurance. Either way, FTB relief at this price point is meaningful but not transformative.
For higher loan-to-value mortgage products, see the related mortgage pre-approval calculator.
Frequently Asked Questions
How much is stamp duty on a £250,000 house in 2026?
Standard: £2,500. FTB: £0. Second home: £15,000. Non-UK resident: £7,500. Scotland LBTT: £2,100. Wales LTT: £1,500.
What happens if I pay £250,001 instead of £250,000?
Almost nothing. Each additional pound above £250,000 adds 5p of SDLT. At £250,001 the SDLT is £2,500.05, rounded by HMRC to £2,500. There is no cliff edge because section 109 FA 2014 made SDLT a slice tax.
Should I negotiate down to £250,000 for SDLT reasons?
Rarely worth the friction. Negotiating £255k to £250k saves £250. The exception is around the £500k FTB cliff where the saving is £15k.
Was £250,000 the SDLT threshold under the temporary holiday?
Yes, from 23 September 2022 to 31 March 2025. A £250,000 purchase paid £0 during that window. The threshold reverted to £125,000 on 1 April 2025.
How does Scotland compare at £250,000?
Scotland LBTT is £2,100 (£400 cheaper than England). Second home in Scotland is £22,100 (£7,100 worse than England's £15,000) because of the flat 8% ADS.
What if the £250,000 purchase is a new-build with a developer incentive?
Most developer incentives (Help to Buy contributions, paid legal fees, paid stamp duty, free upgrades) are not deducted from the SDLT base if they are explicitly part of the purchase price. HMRC SDLT Manual SDLTM04020 sets out the treatment. If the developer "pays your stamp duty" by adding £2,500 to the headline price and crediting it back, the SDLT base is still £252,500 in many structures.
Related price points
Not tax advice. Independent summary. Always confirm with a qualified UK solicitor or chartered tax adviser before completing.