Landlords’ Soaring Tax Payments Bail Out Government – New Figures

Added: 2026-05-10

[00:00:00]Hey, my name is Nick Nicholson. Welcome to my YouTube channel. In this video, I've got some surprising stats. Even though landlords are leaving the market, even though less landlords are purchasing properties, more than 50% of all stamp duty collected is paid by landlords. Not only that, there are some areas in the UK where more than 90% of the stamp duty collected in those towns is from landlord transactions. So, in this video, I'm going to tell you what those areas are, how much the government is collecting on a a different regional by regional basis, and what I think they should do about this. Because if they're collecting some good money here, maybe we should give some landlords some opportunities so we get more back into the market rather than shrinking the landlord sector, which is seems to be their focus uh in 2026. So, in this video, we're going to cover all of that and more. But before we do jump into this, do make sure you subscribe to my channel over there and hit that bell notification. Join over 54,000 subscribers who get all the latest house price news, interest rate news, property investing tips, and much, much more. And let's get some views on this video as well. Your part in that is simple. All you need to do is smash like, tickle like, do something to that like button.

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[00:01:22]So, stamp duty. Not many people like stamp duty. I hate it. It's such a huge tax when you're purchasing a property.

[00:01:32]In fact, landlords have to pay 5% surcharge now on top of whatever the stamp duty would be, and that's just pushed a lot of landlords out the market because you could be paying 10% stamp duty, then you've got to pay your solicitor, then you've got to pay a 25% deposit on your property as well. It just means it's really hard to get in the market, and a lot of people just aren't up for it at the moment. But the government is doing very well off stamp duty. In fact, landlords are contributing the most stamp duty. So, that looking at that, you'd think, why do we have all these anti-landlord policies?

[00:02:14]Why aren't the government encouraging more landlords to come into the sector?

[00:02:19]And so they can collect more tax from various different routes and more stamp duty. That beggars belief. And that's the problem with governments. They do have lots of things that they just don't really think through, like the Renters Rights Act. I'm sure we're going to see lots of problems with that. The EPC stuff. I just made a video on that, where it's not possible to do EPC work on the majority of properties. So, go and check that one out. We've got the leasehold reform, where you can't actually get rid of the managing agent at the moment. That doesn't really work.

[00:02:51]That's the whole point of it or major point of it, at least. Uh and so governments don't often think things through. So, let's have a look um at some of the numbers here. So, right now, um stamp duty landlords pay 50% plus of all stamp duty collected uh in the UK. That's a huge huge sum. And remember, whatever your stamp duty might be, if a landlord bought that property, then they would pay a 5% surcharge. So, people that are anti-landlords, that money is going into the government, and that's paying for NHS and various other things. They're paying around 10% tax on buying a property. So, it's very, very expensive for them. But let's have a look at some areas uh in the UK and how much of all stamp duty collected was paid by landlords. So, first, let's look at the East of England.

[00:03:52]Uh so, in the East of England, uh um uh 33% of all stamp duty collected is paid by landlords. So, not the 50% there.

[00:04:04]Southeast, which is definitely a slowing market, um it's 34%.

[00:04:15]So, not Well, it is a huge sum there, but if you think about this, landlords are only buying about 14 to 15% of all properties. So, even in these areas, they're still paying the lion's share of stamp duty collected.

[00:04:32]Uh West Midlands, so in the West Midlands, it's more.

[00:04:39]It's 43%.

[00:04:43]Because there's a lot of activity there.

[00:04:44]There's a lot of people buying properties, flipping properties, turning them in into HMOs. Yeah, there's tons of activity in the West Midlands.

[00:04:52]Uh Southwest, so Southwest is a lot higher, 58%.

[00:05:01]Now, Southwest, that's a nice beach area, isn't it? Some of that could also be second homes, where you pay a higher stamp duty as well. London, crazy high. Landlords paying most of the stamp duty here.

[00:05:17]61% of all stamp duty collected in London is from landlords. Huge amount.

[00:05:24]Uh East Midlands, in the East Midlands, it's 67%. It's going to get really high in a minute.

[00:05:34]Because remember, some areas you have for a first-time buyer a stamp duty threshold. So, if they buy a lower-end property, which some areas Most of the properties in those whole towns fall into that. Not many people actually pay stamp duty. So, it's just going to be the investors that pay that. First, Northwest.

[00:05:56]So, in the Northwest, 89% of all stamp duty is from landlords. That's crazy, isn't it?

[00:06:06]Crazy high.

[00:06:07]Northeast, where lots of landlords have been like diving into the Northeast and buying properties in those areas. They've been doing well. Rents have gone up high in the Northeast, which I did a video about a couple of days ago.

[00:06:24]And that surprised me because I thought more landlords going in, it means it's going to be more competition, but rents are still going up nearly 2% in a month, just in April. In the Northeast, though, stamp duty, 92% of all stamp duty is for landlords. And Yorkshire, landlords are paying nearly all the stamp duty up there.

[00:06:51]93%.

[00:06:53]93% of all stamp duty collected in Yorkshire is from landlords, which is crazy if you think about it. But, I mean, if you look on Rightmove and you look at the thresholds that first-time buyers have before they pay any stamp duty, it makes sense, doesn't it? A lot of people just don't fall into those thresholds up north. It's a lot easier.

[00:07:15]But what this shows is the government is collecting huge amounts of stamp duty from landlords. That's giving the government a lot of money that they're using for hospitals and schools, police, whatever we need it for, right?

[00:07:28]And they might not use it in the right way, but they are collecting it. So, it means other people aren't getting taxed in other places. So, why don't we encourage landlords? Why don't we do something and try and get more landlords into the ecosystem, New landlords collect more stamp duty, make more money, and allow people to have tax cuts in other areas or provide more services.

[00:07:50]Doesn't make sense to me, but the Labour government have been very, very anti-landlord. They're taxing them to the hilt. They're getting tons and tons of money from them, but maybe we could be smarter and collect even more if we incentivize people to actually join the sector. What do you think about that?

[00:08:08]Let me know in the comments below.

[00:08:10]Please do like all the videos that you watch on my channel, guys, and check out all the other content as well on the channel, including this video right here.