FTBs paid £307 million more in Stamp Duty since April 2025

by Henry Thomas
April 14, 2026
131 views

The rise follows the lowering of the Stamp Duty threshold from £425,000 to £300,000, reducing the proportion of homes available without tax from 62% to 41%

First-time buyers (FTBs) have paid an estimated £307 million more in Stamp Duty since the reduction in relief thresholds in April 2025, according to analysis from Rightmove.

The total Stamp Duty bill for first-time buyers over the past year reached £408 million, compared with £101 million in the previous year, with the average cost rising by £4,618 per transaction.

The rise follows the lowering of the Stamp Duty threshold from £425,000 to £300,000, reducing the proportion of homes available without tax from 62% to 41%.

The data showed that the impact has been concentrated in higher-priced regions, with London accounting for 53% of all Stamp Duty paid by first-time buyers and the South East contributing 23%.

By contrast, regions such as the North East and East Midlands made up only a small share, reflecting lower property values.

Analysis by price band showed that buyers purchasing homes between £300,001 and £425,000 now pay an average of £3,094 in Stamp Duty, compared with no tax under the previous threshold.

For properties between £500,001 and £625,000, average Stamp Duty costs rose from £7,074 to £18,260.

Rightmove said the changes have reduced the availability of Stamp Duty-free properties and increased the upfront costs faced by first-time buyers, particularly in southern regions.

Colleen Babcock, property expert at Rightmove, said: First-time buyers are already facing significant challenges, from higher mortgage costs to rising rents while they save, so it would really benefit first-time buyers if they could have a reduction in up-front moving costs.

She added: Our latest figures show just how much stamp duty costs have risen for first-time buyers since the threshold fell, particularly in London and the South East, where far more homes now sit above the zero-rate limit. This reduces choice and increases the savings needed before buyers can even consider moving.