248A Restriction of relief in respect of loans applied in acquiring interest in companies and partnerships.
(1) In this section—
“chargeable period” has the same meaning as in section 321(2);
“premises” and “rented residential premises” have the same meanings, respectively, as in section 96.
(a) a loan, being a loan to which section 247, 248 or 253 applies, is applied on or after the 7th day of May, 1998, to defray money for any of the purposes specified in those sections, and
(b) the money so defrayed is used, in whole or in part, directly or indirectly—
(i) in the purchase, improvement or repair of a premises, or
(ii) in paying off a loan used in the purchase, improvement or repair of a premises,
then, the relief to be given for a chargeable period under those sections in respect of that loan shall, for any chargeable period in which the premises is at any time a rented residential premises, be reduced by the interest attributable to so much of the money used for the purposes specified in subparagraphs (i) and (ii) of paragraph (b).