Comments on: Buying a Woodland in a SIPP

By: Gary

Gary — Tue, 06 Dec 2011 16:33:02 +0000

Andrew, in my experience, no such knowledgeable SIPP provider exists. Sorry.

By: Andrew

Andrew — Tue, 06 Dec 2011 15:59:18 +0000

Can anyone recommend a ‘good knowledgeable SIPP provider’ for the purchase of woodland. I have spoken to a few and most seem a little in the dark regards woodland purchase.

By: Simon Lilleker

Simon Lilleker — Tue, 25 Oct 2011 20:12:37 +0000

Andy, Could you provide any details of SIPP providers you used? Thanks

By: Lawrence

Lawrence — Tue, 28 Jun 2011 07:30:10 +0000

These eco friendly SIPP investments are becoming increasingly popular.

We have recently had enquiries on http://www.sipps-now.co.uk for Green Oil, Teak and Bamboo.

This is a market that can only develop further in the next 12 to 24 months.

By: Justin Thomas

Justin Thomas — Mon, 20 Jun 2011 10:52:12 +0000

Just an addition to my comment on the 10th June to add my email address justin@thomashallifa.co.uk

By: Andy

Andy — Sun, 19 Jun 2011 14:43:57 +0000

I sold my woodlands to my SIPP a few years ago. The process was pretty traumatic as fund administrators, lawyers, and valuers tried to come to a sensible solution.

[My grandad used often to recite the mantra that "two boys will do about a boy and a half's work, three boys will do no work" (I was one of three brothers at the time). Experience has taught me that much the same is true of professionals.]

Nevertheless we did eventually achieve most of my financial objectives and I am satisfied overall with the result. I wanted to continue to enjoy the woodlands so took a lease back from the pension fund that allows me pretty much to continue as before. That solved the issue of tenant and income that Rob C raised and was, in fact, a fundamental piece of the jigsaw.

As a former tax consultant I was able to accept that governments can and do change the law relating to pension funds and inheritance taxes and that these changes may have unintended and damaging consequences. I am not sure that I would advise anyone who did not fully understand and accept these risks to undertake such a transaction. So far, my planned exit route is intact, although rather more expensive than anticipated when the sale took place. I hope this helps the discussion.

By: Justin Thomas

Justin Thomas — Fri, 10 Jun 2011 08:56:03 +0000

We are in the privileged position of having arranged a SIPP purchase of woodland some years ago for a client. It is not a straightforward process as you need to bring together valuers, solicitors and the SIPP provider, but is achievable. Even if you already own the forestry a SIPP can purchase it from you to release up valuable cash to you, which you could even re-invest into the pension to buy more forestry …… As Steve Seymour notes, you have to think through what you want to happen to the forestry when you die as part of the exercise. It seems that some advisers have not done sufficient digging and research if they do not know which SIPP provider will embrace forestry in their SIPP. I am happy to take enquiries.

By: Sean J

Sean J — Wed, 18 May 2011 07:51:41 +0000

Not only can a Sipp buy a woodland, but a SSas can also (small self adminstered scheme) this may be a more viable option (cheaper). The woodland has to be a commercially viable proposition, as HMRC may levy a tax charge if it is deemed to be purchased for the use and enjoyment of the owner of the pension. HMRC says that you can have your cake, but can’t eat it………

email me for more info/details sean@swbc.co.uk

By: Heather Dunne

Heather Dunne — Fri, 03 Sep 2010 07:34:19 +0000

I am an adviser specialising in pensions and work with numerous SIPP Providers. If any of you are still looking for help with regard to consolidating existing funds and specialist investments, do please get in touch – hdc.limited@btconnect.com

By: Rob C

Rob C — Mon, 12 Jul 2010 12:35:05 +0000

I was told by my adviser that I needed to show the woods could generate regular income, and to pay myself (or rather the SIPP fund) £100 a year for the sale of firewood, and this would be sufficient to get around the problem. Although I have still to put this into pracice, so they may find other problems yet.