Stamp Duty Threshold Changes
September 23, 2022
As part of today’s “mini budget”, the Chancellor, Kwasi Kwarteng, has announced a permanent cut to stamp duty thresholds, effective from 23 September 2022. The cut raises the threshold of the price of a property before stamp duty is paid from £125,000 to £250,000. First time buyers currently only start to pay stamp duty above £300,000, and this limit will jump to £425,000.
He also announced that “increase the value of the property on which first-time buyers can claim relief, from £500,000 to £625,000.” This means that, overall, an additional 200,000 people will not pay stamp duty on their housing purchases.
The rates are now:
- 0%: £0 – £250,000 (£425,000 for first time buyers)
- 5%: £250,000 – £925,000
- 10%: £925,000 – £1,500,000
- 12%: £1,500,000+
“Cuts to stamp duty will get the housing market moving and support first-time buyers to put down roots,” says Kwarteng. “
