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Stamp Duty in the Next Budget: What We Know, Don’t Know & What It Could Mean for Wandsworth Property

  • Team TWPE
  • Sep 30
  • 2 min read
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Introduction

The Autumn Budget is just around the corner, and one of the biggest questions in the housing market is whether stamp duty will change again. For buyers in Wandsworth — where average prices are well above the national average — even small adjustments to thresholds or rates can mean thousands of pounds. Let’s break down what we know, what’s speculation, and how it could play out in our borough.



What We Know

  • Threshold rollback: Since April 2025, the nil-rate band fell from £250,000 to £125,000, adding significant costs to most purchases.

  • First-time buyer relief cut: Relief now applies only on the first £300,000. Properties over £500,000 — common in Wandsworth — get no discount.

  • Second home surcharge: Investors and landlords now pay a 5% surcharge, up from 3%.


In short: today, nearly every Wandsworth purchase comes with a heavy SDLT bill.



What We Don’t Know

The Treasury hasn’t confirmed new measures, but here are the main ideas in circulation:

  • Seller’s tax: Instead of buyers paying SDLT, sellers might pay a levy on homes over ~£500k.

  • Annual payments: That tax could be spread over several years (e.g. 0.5% annually) rather than a single lump sum.

  • High-end focus: Rumours of a “mansion tax” or capital gains tweaks on homes worth £1.5m+.

  • Regional fairness: Will thresholds be adjusted to reflect higher prices in London? That’s still unclear.


Until the Chancellor speaks, these remain rumours.



What It Could Mean in Wandsworth

With average local prices topping £675,000, Wandsworth would be directly in the firing line of any reform.

  • If SDLT stays buyer-side: Costs remain high. A £700k purchase means £20–25k in SDLT under current rules.

  • If shifted to sellers: Buyers avoid upfront tax, easing deposits, but sellers may raise asking prices to offset liability.

  • Market behaviour: Speculation is already slowing deals above £500k. Big changes could either free up supply (if buyers get relief) or discourage selling (if sellers feel penalised).

  • First-time buyers: With few homes under £500k, they’d be the biggest winners if SDLT on buyers disappears.


Preparing Locally

  • Budget for today’s rules: Don’t bank on tax cuts.

  • Think about timing: If you’re close to completing, weigh the risks of waiting for the Budget.

  • Get local advice: In Wandsworth, small policy shifts equal big financial swings.


Final Word

Wandsworth homebuyers face some of the steepest stamp duty costs in the UK. The upcoming Budget could ease that burden — or reshuffle who pays it. Either way, clarity is coming soon.



Thinking About Your Next Move?

At The Wandsworth Property Expert, I help buyers and sellers navigate market changes with clear advice and strong local insight. If you’d like to talk through how potential stamp duty reforms might affect your plans, get in touch today.

 
 
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