Warning on SIPP and SSAS property rules

clock

SIPP and SSAS clients may need to re-examine any loans secured against taxable property following a clamp-down by HMRC.

The change in tax rules means loans from pension funds secured against residential property will now be seen as an ‘unauthorised payment' and face a tax charge. Mary Stewart, marketing director of Hornbuckle Mitchell, says the change in rules is the next stage in HMRC's crackdown on residential property holdings within SIPP and SSAS. New HMRC regulations treat a scheme as having an interest in taxable property if it ‘holds the property or any estate, interest, right or power over the property'. Previously, the taxman did not consider property as security on a pension loan as ‘havin...

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

Pensions industry must unite on small pension pot consolidation model

Pensions industry must unite on small pension pot consolidation model

Uniting behind one industry-led model would mean widescale consolidation by 2023

Martin Richmond
clock 16 September 2025 • 3 min read
Pension withdrawals surge 36% as FCA reports record £70.9bn accessed in 2024/25

Pension withdrawals surge 36% as FCA reports record £70.9bn accessed in 2024/25

Nearly a million pension plans were accessed for the first time during the year

Sahar Nazir
clock 16 September 2025 • 2 min read
Pension transfers being 'unnecessarily' delayed due to scam warnings

Pension transfers being 'unnecessarily' delayed due to scam warnings

PensionBee argues there is ‘no clear correlation’ between the number of scam flags and the number of scams

Martin Richmond
clock 11 September 2025 • 3 min read