No. Historically, this double-taxation occurred, but UK tax laws were updated via alternative finance regulations. Under current HMRC rules, Islamic property transactions are granted explicit relief, ensuring you only pay SDLT once, exactly like a conventional buyer.

Before the law changed (pre-2003) Today
Seller to bank SDLT paid Relief applies
Bank to buyer SDLT paid again SDLT paid once
Result Double stamp duty Same as a conventional buyer