SIPP body wins property tax victory

clock •

Investors in SIPPs and SASSs should find it easier to remortgage commercial property within their portfolio following changes to tax rules.

SIPPs and other member-directed pensions will be able to restructure borrowing terms on loans made against more than 50% of the fund's value without a tax penalty, as long as the amount borrowed is not increased. Leases on commercial property held by the pension scheme can be also be re-negotiated allowing reduced rent to be paid, even where the property is let to a firm connected to the pension scheme members. This is provided the re-negotiated lease is still on a commercial basis and does not provide more favourable terms than would be given to a tenant not connected to the scheme membe...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Pensions

Do clients already own the best retirement portfolio?

Do clients already own the best retirement portfolio?

'Feeling safer and being safer aren't the same thing'

Alex Funk
clock 29 October 2026 • 4 min read
Budget 26: Government to get rid of two-year tax rule on lump sum death benefits

Budget 26: Government to get rid of two-year tax rule on lump sum death benefits

Changes will also be made to how tax due on excess lump sum death benefits is collected

Jonathan Stapleton
clock 28 October 2026 • 1 min read
Budget 26: State pensioners to be shielded from income tax

Budget 26: State pensioners to be shielded from income tax

State pension expected to rise to £13,036

Sophia Panayi
clock 28 October 2026 • 2 min read