"Buying a home is likely to be the most expensive purchase anyone can make, so it’s normal for people to want to understand the tax implications of waiting a few weeks if the difference could be thousands of pounds"
- Johnathan Stinton - Coventry Building Society
Homebuyers have paid £10.8bn in Stamp Duty between January and September this year, according to analysis from Coventry Building Society based on the latest HMRC figures. The total marks a 22% rise on the £8.8bn collected over the same period in 2024.
In September alone, buyers paid £1.5bn, up from £1.3bn in August, despite growing concerns from both sellers and buyers that significant property tax changes could be announced in the Autumn Budget.
Speculation about a potential overhaul of the system first surfaced on 18 August, suggesting that Stamp Duty could be replaced by a new property tax applied to sellers of homes worth more than £500,000.
“Buyers and sellers are being left in tax purgatory by the Treasury’s refusal to confirm or deny rumours of changes to Stamp Duty,” said Jonathan Stinton, head of mortgage relations at Coventry Building Society. “Although the September receipts are for property purchases made after the speculation on property tax was already out there, it’s highly unlikely many buyers would have pulled the plug at such a late stage. But transactions could start to dwindle as some buyers choose to hold fire, and we may start to see tax receipts start to lose momentum as a result.”
“Any reform to property tax needs to be well considered and well communicated,” Stinton added. “Buying a home is likely to be the most expensive purchase anyone can make, so it’s normal for people to want to understand the tax implications of waiting a few weeks if the difference could be thousands of pounds.”
The Treasury has not commented on whether any reforms will be included in the upcoming Budget, leaving both homeowners and property professionals waiting for clarity on the future of Stamp Duty.
