Overview
- HMRC data obtained by Plum shows 36,999 transactions that claimed first‑time buyer relief still incurred stamp duty in 2024/25, equating to roughly one in four such purchases.
- Taxed first‑time buyers paid an average of £4,073, with 13,529 facing bills of at least £5,000 and 1,285 hit with the £10,000 cap.
- Nearly 25,000 relief claimants paid £2,000 or more, with thousands more recorded in lower payment bands across the year.
- From April 1, 2025, the nil‑rate threshold fell to £300,000 and relief was withdrawn above £500,000, replacing previous limits of £425,000 and £625,000.
- Reporters and analysts say the rule changes have drawn thousands more into the tax net, particularly in London and the South East, while advisers highlight Lifetime ISAs’ 25% bonus as a partial offset for some buyers.