Chancellor Kwasi Kwarteng has confirmed a permanent stamp duty cut in the mini-Budget announced this morning.
The government is reforming stamp duty by doubling the level at which people begin paying this from £125,000 to £250,000.
This government is also committed to helping first-time buyers get on the property ladder. They are increasing the level first-time buyers start paying stamp duty from £300,000 to £425,000. In addition, they are allowing first-time buyers to access the relief when they buy a property costing less than £625,000 rather than the current £500,000.
These measures will reduce stamp duty bills across the board for all movers by up to £2,500 with first-time buyers able to access up to £11,250 in relief.
Table of potential savings
|
SDLT charge for standard home mover (£) |
SDLT charge for standard home mover (£) |
SDLT charge for first time buyer (£) |
SDLT charge for first time buyer (£) |
|||
|
Price (£) |
As at 22 Sep 2022 |
As at 23 Sep 2022 |
|
As at 22 Sep 2022 |
As at 23 Sep 2022 |
|
|
200,000 |
1,500 |
0 |
1,500 |
0 |
0 |
N/a |
|
400,000 |
10,000 |
7,500 |
2,500 |
5,000 |
0 |
5,000 |
|
600,000 |
20,000 |
17,500 |
2,500 |
20,000 |
8,750 |
11,250 |
|
Property Value |
Standard Residential Rates |
|
£0 – £250,000 |
0% |
|
£250,000 – £925,000 |
5% |
|
£925,000 – £1,500,000 |
10% |
|
£1,500,000+ |
12% |
