# Regulated vs Unregulated Bridging Loans Source: https://www.cashbookfinance.co.uk/blog/regulated-vs-unregulated-bridging-loans Last updated: 2026-10-03 > When a bridging loan is FCA-regulated and when it is not: the home-occupation test, what changes for borrowers, and which loans Cashbook provides. ## Regulated vs unregulated bridging loans. In the UK, a bridging loan is generally **regulated** (as a regulated mortgage contract) when it is secured on a property that the borrower, or a close family member, lives in or intends to live in as a home. Loans secured on investment or business property, taken for business purposes, are generally **unregulated**. Cashbook Finance provides business bridging finance secured on business or investment property. Written by [Bjorn Laku](https://www.cashbookfinance.co.uk/bjorn-laku), Director & CMO. Reviewed by the Cashbook Finance lending team. ### The question that decides whether a bridge is regulated. It turns on how the security property is used, not on the size of the loan. Regulated #### A home for the borrower A bridge secured on property the borrower or a close family member lives in, or will live in, is generally a regulated mortgage contract. Unregulated #### An investment or business asset Loans on buy-to-let, refurbishment or commercial property for business purposes are generally unregulated. Our loans #### What Cashbook Finance provides Business bridging finance secured on business or investment property. ### Not sure which applies to your deal? Tell us how the property is held and used, and we will tell you whether it falls within the business bridging finance we provide. ### The same discipline applies to every bridge. Regulated or not, a bridge is short-term borrowing secured on property, and the exit - a sale or a refinance - must be credible from the start. Regulated bridging carries FCA mortgage conduct rules, including affordability and advice requirements. Take advice on your own circumstances, particularly where a property is partly occupied or held through a company. - Confirm how the property is and will be occupied - Compare the full cost, not just the monthly rate - Test the exit against realistic timings ### Three points to clarify early. Getting the classification right first avoids applying to the wrong type of lender. #### Occupation Will anyone related to the borrower live in the property? #### Purpose Is the borrowing for business or investment purposes? #### Exit How and when will the loan be repaid? Illustrative guidance only; eligibility, pricing and terms are confirmed after review. Bridging finance is secured against property. Your property may be repossessed if you do not maintain repayments on a loan secured against it. Applicants should obtain independent legal, financial and tax advice where appropriate. **Related guidance:** [Bridging finance](https://www.cashbookfinance.co.uk/bridging-finance) · [Pricing & decisions](https://www.cashbookfinance.co.uk/pricing-decisions) · [Eligibility](https://www.cashbookfinance.co.uk/eligibility) · [Case studies](https://www.cashbookfinance.co.uk/funding-scenarios) ### More guides on bridging finance - [Bridging for limited companies and SPVs](https://www.cashbookfinance.co.uk/blog/bridging-loans-limited-companies-spvs) - [Refurbishment bridging finance](https://www.cashbookfinance.co.uk/blog/refurbishment-bridging-finance) - [VAT bridging loans](https://www.cashbookfinance.co.uk/blog/vat-bridging-loans) - [What slows down bridging completion](https://www.cashbookfinance.co.uk/blog/what-slows-down-bridging-completion) - [Bridging loans in London](https://www.cashbookfinance.co.uk/bridging-loans-london) - [Auction bridging finance](https://www.cashbookfinance.co.uk/blog/auction-bridging-finance) --- Cashbook Finance. Cashbook Finance Limited is registered with the Financial Conduct Authority under Firm Reference Number 782472. Company number 10723098. Registered office: Cumberland House, 24–28 Baxter Avenue, Southend-on-Sea, Essex SS2 6HZ. Registered with the Information Commissioner’s Office under reference ZB545200. All finance is subject to eligibility, satisfactory due diligence, credit approval and agreed terms. Invoice finance, trade finance and bridging finance may not be suitable for every business. The availability, structure, amount, pricing, fees, security requirements and completion timescales of any facility will depend on the applicant’s circumstances, the quality of the supporting evidence provided and our assessment of the proposed transaction. Any figures, examples, rates or timescales shown on this website are for illustrative purposes only and do not constitute an offer, commitment or guarantee of finance. Terms and conditions apply. Bridging finance is secured against property. Your property may be repossessed if you do not maintain repayments on a loan secured against it. Applicants should obtain independent legal, financial and tax advice where appropriate.