Coventry Building Society has analysed the latest HMRC figures and established that homebuyers paid £1 billion in Stamp Duty in May.
So far this year homebuyers have paid £4.4bn in Stamp Duty, the same amount homebuyers paid during the same period last year.
Homebuyers currently pay Stamp Duty if the property they purchase costs most than £250,000. In March 2025 this threshold will drop to £125,000 – taking the tax bill on an average-priced home in England from £2,411 to £4,911.
First time buyers currently only pay Stamp Duty if their home costs more than £425,000, which is set to drop to £300,000 in March 2025.
Jonathan Stinton, head of intermediary relationships at Coventry Building Society, said: “Stamp Duty isn’t in all the party manifestos but it’s certainly going to be near the top of the to-do list for whoever is Chancellor on 5th July.
“In a matter of months, the temporary thresholds will expire and buying a home will become a lot more expensive. As it stands, someone buying an average-priced home in England next April will have to fork out an extra £2,500 to the taxman.
“The ideal opportunity to act will be at the next Budget, which will likely be in September. Leaving it any longer than that will ratchet up the uncertainty and could distort the housing market as buyers and sellers seek to beat the deadline in March.”