The Budget 2010 announces a two-year stamp duty holiday from 25 March 2010 for first-time buyers only for residential property purchases up to £250,000 to help reduce the upfront transaction cost faced by this group.

In order to offset the cost of this relief and to sustain the public finances in the longer term, Budget 2010 also announces the introduction of an additional 5 per cent rate of stamp duty land tax for residential property over £1 million from April 2011-12.