Almost 37,000 first‑time buyers were dragged into paying stamp duty in 2024/25, with over 13,000 hit by charges of at least £5,000.
These figures come as recent Government threshold adjustments are expected to push more aspiring homeowners into paying the duty.
The data from HM Revenue and Customs (HMRC), obtained by Plum, shows those entering the property market faced an average tax bill of £4,073.
The statistics indicate roughly one-in-four transactions claiming first-time buyer relief were still hit by the property tax.
The breakdown of payments shows 36,999 transactions qualified for first-time buyer relief but still attracted stamp duty charges.
Of these, nearly 25,000 purchasers faced bills of £2,000 or above, while 13,529 were required to pay at least £5,000.
At the highest end, around 1,285 first-time buyers were charged the maximum possible £10,000 rate.
Before the April 2025 changes, properties purchased above the nil rate threshold of £425,000 attracted a reduced stamp duty rate of five per cent.
Those entering the property market faced an average tax bill of £4,073
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Standard rates apply to homes valued above £625,000.
First-time buyers could previously purchase properties up to £425,000 without paying any stamp duty.
The system changed from April 1, 2025, when the nil rate threshold was reduced from £425,000 to £300,000.
First-time buyer relief was also removed entirely for properties valued above £500,000.
These changes brought thousands of buyers who previously would not have paid stamp duty into the tax system.
London and the South East of England have been most affected due to higher average property prices.
The duty is particularly challenging for buyers due to the influx of various costs
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Plum said first-time buyer stamp duty bills are expected to increase further as new relief thresholds continue to affect transactions across the housing market.
Rising property prices are also expected to reduce the number of buyers eligible for relief in future years.
Rajan Lakhani, personal finance expert at Plum, said: “Stamp duty is one of the most hated taxes there is and the pain faced by first-time buyers is particularly acute given the financial challenges they already face in raising a deposit.”
He questioned whether the data suggests some potential buyers are being priced out of the housing market entirely because of stamp duty costs.
Mr Lakhani added: “Worse still, the new stamp duty relief thresholds mean tax bills are only going to grow bigger in the years ahead as rising house prices mean more and more first-time buyers lose entitlements to stamp duty relief altogether.”
Separate research from Coventry Building Society found homebuyers across all categories paid £12.3billion in stamp duty between January and October 2025.
This represented a 21 per cent increase compared with the previous year.
Industry data suggests rising property values and threshold changes are increasing overall stamp duty receipts for the Government.
Property market analysts said tax costs are becoming a larger part of overall purchase expenses for buyers across multiple regions.
Mortgage lenders and housing market observers have said affordability pressures remain high for many first-time buyers due to deposit requirements, mortgage rates, and additional transaction costs including stamp duty.
Housing market activity can be sensitive to tax changes
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Housing market activity remains sensitive to tax changes, particularly in higher value regions where threshold adjustments can quickly increase buyer costs.
Property professionals said upcoming market data will show the full effect of the April 2025 threshold changes as transactions continue to move through the system.
Tax specialists said first-time buyers must factor stamp duty costs into purchase planning, particularly when buying above revised relief thresholds.
Market analysts said housing affordability remains a key issue for first-time buyers across the UK as property prices and tax costs continue to shape purchasing decisions.