Second-home stamp duty surcharge
The stamp duty surcharge on a second home in 2026/27 is 5% of the whole purchase price in England and Northern Ireland, on top of standard Stamp Duty Land Tax, under the residential property rates on gov.uk. Scotland charges 8% and Wales uses a separate higher-rate table instead of a flat surcharge.
How does the surcharge work in England and Northern Ireland?
The surcharge sits on top of the normal stamp duty that would be paid anyway. In England and Northern Ireland it is a flat 5% of the whole purchase price, charged from £40,000 upwards, with no nil band of its own, under the rates set out on gov.uk. A home mover pays standard SDLT only. A buyer of a second home pays that same standard SDLT plus 5% of the whole price. Scotland applies the same flat-percentage approach at 8%, the Additional Dwelling Supplement. Wales is the exception: it substitutes a separate higher-rate table rather than adding a flat percentage.
The £40,000 floor is on the price, not on the tax. Once the property costs £40,000 or more, the surcharge applies to the full amount, not just the slice above £40,000.
What would the surcharge be on an example purchase?
Take a £300,000 buy-to-let in England. Standard SDLT for that price is £5,000. The 5% surcharge adds £15,000 on the whole price, giving an estimated total of £20,000, an effective rate of 6.7%. A home mover buying the identical property would pay only the £5,000 standard duty. The surcharge more than doubles the bill at this price.
What is the 36-month refund rule?
A buyer replacing a main home who buys the new one before the old one sells still pays the surcharge at completion. That amount can be reclaimed once the previous main residence is sold, provided the sale completes within 36 months of the new purchase. The claim is not automatic. It is made to the relevant authority: HMRC for England and Northern Ireland, Revenue Scotland for Scotland, or the Welsh Revenue Authority for Wales. Each authority sets its own deadline for claiming after the sale, so completion dates should be kept on record.
Common questions
How much is the second-home stamp duty surcharge?
In England and Northern Ireland the surcharge is 5% of the whole purchase price on top of standard SDLT, from £40,000 upwards. Scotland charges an 8% Additional Dwelling Supplement on the whole price. Wales uses a separate higher-rate table rather than a flat add-on. On a £300,000 purchase in England the surcharge alone is £15,000.
Does the surcharge apply to the whole price or just part of it?
The whole price. Unlike the main stamp duty bands, the surcharge is a flat percentage of the entire purchase price once you cross the £40,000 floor. There is no nil band for the surcharge itself.
Can I get the surcharge refunded?
Yes, if you were replacing your main residence. If you buy the new home before selling the old one you pay the surcharge up front, then reclaim it once the old main residence is sold, provided the sale happens within 36 months. You claim from the relevant authority, not automatically.
When does the surcharge not apply?
It does not apply if the property will be your only residence, or if the price is under £40,000. It also does not apply to most caravans, houseboats and mobile homes. Replacing a main residence on the same day avoids it entirely.
Why is the Welsh figure different?
Wales does not add a flat surcharge. It applies a completely separate set of higher residential rates to additional properties, with its own bands. This calculator flags Wales rather than guessing, because a flat add-on would give the wrong number.
How does the surcharge work in England and Northern Ireland?
A flat 5% is added to the whole purchase price, on top of standard Stamp Duty Land Tax, once the price reaches £40,000, under the rates set out on gov.uk. On a £300,000 purchase the standard duty is £5,000 and the surcharge adds £15,000, for an estimated total of £20,000.
What is the 36-month refund rule?
A buyer who purchases a new main residence before selling the old one pays the surcharge at completion, then reclaims it once the previous home is sold, provided the sale completes within 36 months. The claim is made to the relevant tax authority and is not automatic, so completion dates should be kept on record.
What would the surcharge be on an example purchase?
On a £300,000 buy-to-let in England, standard Stamp Duty Land Tax is £5,000. The 5% surcharge adds £15,000 on the whole price, giving an estimated total of £20,000, an effective rate of 6.7%. A home mover buying the same property would pay only the standard duty, so the surcharge more than doubles the bill at this price.
Sources & Rate Verification
Rates verified against official statutory guidance on 6 September 2026.