Following a HM Revenue and Customs rule change, holders of self-investing personal pensions who have borrowed money under the current rules - up to 75% of the cost of a commercial property - may find it difficult to re-finance. Many borrowers could be tied into their existing provider, as clients transferring assets will have to undergo further testing against the post A-day limit of 50% of the pension fund. Suffolk Life believe that after this date, borrowing abilities change, and in some cases become much worse. They have recommended that people review their borrowings and ascertain whether there is a chance of them getting a better deal.
Our view
Self Invested pensions and many other pension rules are changing soon - YOU MUST DO A PENSION MOT before it is too late!