How to get around the Sipp property rules

Gordon Brown’s U-turn means you still can’t put residential property into a Sipp. You could buy into a property-linked fund instead. But given the state of the market, is that such a good idea?

Gordon Brown's U-turn on self-invested personal pensions (Sipps) came as a nasty shock to investors hoping to snap-up buy-to-let property or second homes with 40% tax relief. The chancellor's ban on Sipps including residential property, as well as other assets, such as wine, vintage cars and works of art, came too late for many leaving an estimated £5bn in limbo awaiting investment.

So where's all the money going to go now that it isn't allowed to pour into the holiday-home market? Given the British obsession with investing in property, we suspect that it will still be seeking a home in the sector only less directly.

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Emma Thelwell

Emma is a former digital journalist with more than 15 years of experience in national news in the UK and overseas. She was an assistant editor at MoneyWeek, covering property, funds, alternative investments and the share tips pages, then Emma moved on to The Daily Telegraph, first as a personal finance reporter and then as a business reporter. 

Emma also worked as a finance correspondent for Ninemsn (Australia’s Channel 9 online) in Sydney, Australia for just over a year, and since then Emma has worked at Channel 4 News as a reporter and producer, and she spent more than 4 years at BBC online. At present Emma is a senior manager for content and thought leadership at PwC.