SIPP investors struggle to pay rent on commercial property

Helen Morrissey
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Cashflow problems could see investors struggle to pay rent on commercial properties held in SIPPs.

Standard Life's head of pension accumulation, Alistair Hardie said economic pressures meant some investors were finding it difficult to meet rent payments. "We are starting to see this ripple through our business with investors putting payment plans in place," he said. Under current rules investors can use up to 50% of their SIPP to purchase a commercial property. They then pay rent back to the SIPP. The practice is popular among business owners purchasing their business premises. However, Hardie said advisers can do much to help their clients through these difficult times. "...

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