Zoopla’s analysis of sales by existing homeowners shows that the proportion paying above 2.5% of the purchase price in stamp duty has risen from around one-fifth in 2019 to more than one-third in 2025

Stamp duty liabilities are rising for a growing share of homebuyers, with more than a third now paying over 2.5% of the property price due to frozen thresholds and higher values, according to Zoopla data.

Zoopla’s analysis of sales by existing homeowners shows that the proportion paying above 2.5% of the purchase price in stamp duty has risen from around one-fifth in 2019 to more than one-third in 2025.

Stamp duty thresholds were last revised in 2014, during which time average prices have increased 47%.

More than half of first-time buyers in southern England now pay stamp duty, rising to 80% in London, compared with fewer than 10% elsewhere. More than 90% of existing homeowners in southern England and the Midlands pay the tax.

The Autumn Budget did not change stamp duty land tax, leaving the current cost framework in place. Instead, Chancellor Rachel Reeves confirmed a council tax surcharge for homes valued over £2 million in England from April 2028 and higher property income tax rates for landlords from April 2027. The basic rate will increase from 20% to 22%, the higher rate from 40% to 42% and the additional rate from 45% to 47%, according to official Budget documents. The Office for Budget Responsibility expects these tax changes to reduce annual house price growth by nearly 0.1 percentage points from 2028, and forecasts the average UK house price to increase from £260,000 in 2024 to just below £305,000 in 2030.

Speculation over wider property tax changes contributed to a slowdown since late summer. Zoopla recorded buyer demand down 12% in the four weeks to 23 November compared with the same period last year, while sales agreed were 4% lower.

The company also reported a separate decline in demand for homes priced above £500,000 of around 11% in the five weeks to September 29, citing buyers reconsidering plans during the pre-Budget period.

Zoopla noted that the usual Christmas slowdown started earlier this year, with demand 12% lower year-on-year but sales agreed only 4% lower, supported by committed buyers aiming to complete transactions before year-end.

After a long lead-in, the Budget bark was worse than its bite for the housing market, said Richard Donnell, executive director at Zoopla.  Homebuyers and sellers will welcome the end of the uncertainty that stalled housing market activity since the late summer.