Introduced by Chancellor Rishi Sunak on 8 July 2020, the holiday saw tax rates on transactions of properties up to £500,000 in England and Northern Ireland cut to 0% to stimulate the housing market during the worst of the pandemic.

From 1 July 2021, the holiday will enter an interim period in which the zero rate will apply to properties valued up to £250,000. This will be the case until 30 September 2021, after which time rates will revert to their ‘normal’, pre-pandemic levels.

Here is a detailed breakdown of the rates:

Residential property price 8 July 2020 to 30 June 2021 1 July 2021 to 30 September 2021 1 October 2021 onwards
£0-£125,000 0% 0% 0%
£125,001-£250,000 0% 0% 2%
£250,001-£500,000 0% 5% 5%
£500,001-£925,000 5% 5% 5%
£925,001-£1.5m 10% 10% 10%
More than £1.5m 12% 12% 12%

For advice on all Stamp Duty matters, contact our Tax Partner Damian Evans in our Cardiff office on 02920 713800.