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captain sensible

Real Life Consequence Of The Sipps U Turn

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There's a derelict house I want to do up. It's been empty the past 2 years and I've held off investing while I wait for the stagnation/slump/crash to play out. Build up cash and maybe do it in 5 years time.

But then SIPPs came along, and suddenly we're looking at 10% pa house price rises again (my projection). So if I don't do it now then I might not get a chance. Can't sit around and watch it go up by £20k a year.

I did the sums. Drafted the plans. Talked to the owner. Checked with the council. And I was wrestling with whether I could afford the time or whether it would interfere with running my business. I knew property was really a duff investment over a 10 year term, but over the next 3 years we might have seen some big gains. To try and get a feel for how much SIPPS would affect the market, I called financial advisers to see what interest they'd had in SIPPs. I read up on the HMRC website, read every news article I could find, the lot. See also quote from Bootle below. Suddenly property had become a Sensible investment for the short term. I wanted to do this refurb so much, and I couldn't afford to wait for the SIPP sharks to pile in, but I couldn't afford for my business to suffer. It was driving me up the wall.

Then tonight I just happened to be looking at the budget report and what it meant for oil stocks, and saw the headline:

Self-Invested Pensions: Anger as new tax break for savers who invest in property is removed

... the rest is a particularly long thread on HPC.

So thank you Mr Brown! I can sleep tonight. I can get back to sense and get back to some real work. And thank God, thank God I didn't buy.

Take the overwhelming ignorance on the part of the public and dubious expertise on the part of the professionals, stir in the British obsession with residential property, and the idea of getting money for nothing from the taxman, and I wonder whether we have the ingredients for the next British pensions disaster. - Roger Bootle 09/10/2005

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The papers this morning are full of moans (justified, on this occasion) from the financial industry about the 1000s of professional hours wasted on this. What about all the time wasted by HPCers?

I think that just shows how stupid they are and how much they 'jumped the gun'

I don't believe that GB actively encrouaged financial advisors that SIPPS (for property) was ever going to happen and then pulled the rung from under them at the last minute.

In fact I think I remember some mention not too long ago that the government had expressed concerns there was some misunderstanding within the financial sector about SIPPS.

GB has clearly been working with the financial industry because they will have thrashed out the implications for SIPPS and we know he has been setting up the expansion of sharebuy mortgages. So it is unlikely that nobody knew what his plans for SIPPS would be - I am sure it wasn't a state secret.

Media spin has kept the myth of SIPPS going and have led impressionable EA's and financial advisors up the garden path - and if you don't believe the media have that much power and influence then ask yourself why the BCC did not even metion SIPPS in their reporting of the Pre Budget Report last night.

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The papers this morning are full of moans (justified, on this occasion) from the financial industry about the 1000s of professional hours wasted on this. What about all the time wasted by HPCers?

A good investment in terms of HPCers time. The fact that it was all expected and then removed is better for us than had it not been expected in the first place.

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Guest consa

The papers this morning are full of moans (justified, on this occasion) from the financial industry about the 1000s of professional hours wasted on this. What about all the time wasted by HPCers?

*****PRESS RELEASE****

The members of the website www.housepricecrash.co.uk have today expressed thier anger at the hundreds and hundreds of wasted hours debating the SIPPS myth, they have formerly demanded an apology from the Chancellor Gordon Brown.

*****PRESS RELEASE****

Edited by consa

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*****PRESS RELEASE****

The members of the website www.housepricecrash.co.uk have today expressed thier anger at the hundreds and hundreds of wasted hours debating the SIPPS myth, they have formerly demanded an apology from the Chancellor Gordon Brown.

*****PRESS RELEASE****

expressed thier anger

myth, and have

have formally demanded

Hate to be a pedant, but it is a press release!

Shouldn't we be doing this on the wiki thingy?

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Guest consa

expressed thier anger

myth, and have

have formally demanded

Hate to be a pedant, but it is a press release!

Shouldn't we be doing this on the wiki thingy?

Don't know how it works :blink:

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The papers this morning are full of moans (justified, on this occasion) from the financial industry about the 1000s of professional hours wasted on this. What about all the time wasted by HPCers?

I think this is a very important point. I heard one financial pundit say, "He's making it up as he goes along". I agree with this, how is any business able to plan with this bunch of buffoons in charge? No wonder the oil industry are peeved, they weren't even consulted. Can anyone remember the scam the Treasury tried on the insurance industry? The problem simply stems from Brown spending way more than he earns and yet no one in charge seems capable of taking the really tough decisions.

They've had years to sort this out. Is this going to fuel more distrust in the pensions industry? If so where will that money go?

I'm glad to see the back of SIPPs but can sympathise with the people who are now going to have to deal with the fall out.

I think that just shows how stupid they are and how much they 'jumped the gun'

No it doesn't! Again a business has to plan for certain events, they have to budget and resource for a product launch. They couldn't leave it until the last moment to implement.

Edited by Golden Shower

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I think that just shows how stupid they are and how much they 'jumped the gun'

I don't believe that GB actively encrouaged financial advisors that SIPPS (for property) was ever going to happen and then pulled the rung from under them at the last minute.

In fact I think I remember some mention not too long ago that the government had expressed concerns there was some misunderstanding within the financial sector about SIPPS.

GB has clearly been working with the financial industry because they will have thrashed out the implications for SIPPS and we know he has been setting up the expansion of sharebuy mortgages. So it is unlikely that nobody knew what his plans for SIPPS would be - I am sure it wasn't a state secret.

Media spin has kept the myth of SIPPS going and have led impressionable EA's and financial advisors up the garden path - and if you don't believe the media have that much power and influence then ask yourself why the BCC did not even metion SIPPS in their reporting of the Pre Budget Report last night.

Wrong. The financial services industry were told that it would happen, and that only the details remained to be ironed out. I met a SIPP adviser only a month ago from one of the biggest and most reputable firms (A J Bell in Manchester), and as far as he was concerned it was a done deal.

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I think this is a very important point. I heard one financial pundit say, "He's making it up as he goes along". I agree with this, how is any business able to plan with this bunch of buffoons in charge? No wonder the oil industry are peeved, they weren't even consulted. Can anyone remember the scam the Treasury tried on the insurance industry? The problem simply stems from Brown spending way more than he earns and yet no one in charge seems capable of taking the really tough decisions.

They've had years to sort this out. Is this going to fuel more distrust in the pensions industry? If so where will that money go?

I'm glad to see the back of SIPPs but can sympathise with the people who are now going to have to deal with the fall out.

No it doesn't! Again a business has to plan for certain events, they have to budget and resource for a product launch. They couldn't leave it until the last moment to implement.

Brown's unilateralist, anti-business instincts are even worse than his socialism. He will be a dreadful but hopefully short-lived prime minister.

Edited by BoredTrainBuilder

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Wrong. The financial services industry were told that it would happen, and that only the details remained to be ironed out. I met a SIPP adviser only a month ago from one of the biggest and most reputable firms (A J Bell in Manchester), and as far as he was concerned it was a done deal.

Sorry if I fail to weep for FSA SIPP advisors and their wasted hours but, like many on this planet, I see their breed as been one rung below even estate agents on the ladder of humanity.

Nice one Gordon :)

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what credibility is left with brown after the total folly of his pre budget speach. it just shows how talentless new labour are. i can't wait for the wheels to fall off. i hope they all starve to death when they all try and get a real job!

rant over i feel happy now

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  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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