There has been a lot of talk about what was in the Chancellor's Autumn budget last month. Higher rate Stamp Duty Land Tax was increased from 3% to 5% for second homes and buy to let properties. However, the real concern is what was NOT mentioned in the Autumn budget.
In 2021, the threshold at which Stamp Duty applies was temporarily increased by the then Government to £250,000 (from £125,000). In addition, the maximum purchase price for which First Time Buyers Relief can be claimed was increased from £500,000 to £625,000. The Chancellor’s radio silence on these thresholds in the budgets can only mean that the temporary increases in these thresholds are set to revert to pre-2021 levels.
From 1st April 2025 the following changes are due to come into effect :
- SDLT will be payable @ 2% between £125,000 -£250,000. This will increase SDLT liability by up to £2,500
- First Time Buyers will pay SDLT @ 5% between £300,000 -£425,000. This will increase SDLT liability by up to £6,250 for First Time Buyers
- The maximum purchase price for which First Time Buyer Relief can be claimed will revert to £500,000 (currently £625,000).
Anyone looking to buy residential or buy to let properties should consider the increased levels of Stamp Duty Land Tax that will become payable from the 1st April 2025. Our renowned and award-winning property Solicitors can help you navigate these upcoming changes, however it is crucial to plan ahead and be aware of these upcoming changes.
Call 0345 900 5401 or email enquiries@sweeneymiller.co.uk to get in touch.
