Residential property as part of a SIPP is not quite dead in the water, as David Lawrenson discovers.

The Revenue's rules are very tight about what qualifies and what does not. For example rooms in hotels may be allowed, but only if you don't stay in the room, and even if it's got a self contained kitchen, this may rule it out.

Another way that's allowed is to go in a syndicate with 10 other people - which is still OK, just as long as none of them are connected to you. So getting your Mum and Dad, even your Grandparents in the syndicate may be a No, No.

Thirteen months ago the Chancellor did an enormous U-turn on his plans to allow people to put individual buy to let investments into a SIPP.

The plans would have meant that people investing in their own buy to let properties could have seen their investment grow free of income and capital gains tax.

Any money put in would have been deductible from income tax too. So, someone who was a higher rate taxpayer could have effectively put £60,000 in giving a £100,000 investment. Also, they could have borrowed too. Borrowing was limited to another 50% so you could also borrow a maximum of another £50,000 too giving you a total pot of £150,000.