Welsh government increases charge on some residential property purchases

Wales has a devolved government with limited powers to make and amend tax law. One tax that is fully devolved is land transaction tax - the equivalent of stamp duty land tax for land and buildings physically located in Wales. The 2025/26 Welsh Budget included the announcement that higher rates, i.e. those that apply to purchases of additional dwellings by an individual (or any purchase by a company), will increase by 1% with effect from 11 December 2024. The rates, which apply to the consideration at the date of completion, are now as follows:

First £180,000	5%
Next £70,000	8.5%
Next £150,000	10%
Next £350,000	12.5%
Next £750,000	15%
Remainder over £1,500,000	17%

 

No change has been made to the Welsh rate of income tax meaning that Welsh taxpayers remain aligned with the main UK rates for at least another year.