Measure
The stamp duty land tax (SDLT) surcharge on purchases of additional residential properties by individuals (and purchases of any residential property by companies) will be increased from 3% to 5%.
Individuals purchasing additional residential property such as second homes or buy-to-let properties, and companies buying residential properties, in England and Northern Ireland.
The increased rates will apply from 31 October 2024. The increased rate will not apply where contracts were exchanged before 31 October 2024, subject to certain transitional rules.
This change was unexpected as the government had said in their manifesto that they would increase the SDLT non-resident surcharge rather than the additional properties surcharge. The change may improve the relative buying power of people buying their sole or main residence which is why we believe the measure has been presented as part of a plan to support more than 130,000 such transactions over the next five years.