Question:
I would like to buy the building I am renting for my business but would like to buy it through a pension scheme. Is this possible? If so, how do I go about it?
Arthur Weller replies:
It is possible. Pension schemes are allowed to invest in commercial property. However there are restrictions on how much the registered pension scheme is allowed to borrow. For example, a self-invested personal pension is limited to a maximum borrowing of 50% of the total fund value. See www.hmrc.gov.uk/manuals/rpsmmanual/RPSM07104000.htm.
