Asset class · Fixed incomeUpdated September 2026

    Alternative Bonds for UK Private Investors

    Mini-bonds, debentures and project bonds let individuals lend directly to companies and projects for a fixed coupon. Learn how they differ from listed bonds, why regulation tightened, and which UK platforms remain.

    Compare bond platforms →Learn how it works
    4
    active UK platforms
    £5+
    typical entry point
    3–7 yrs
    fixed terms
    Medium–high
    risk · illiquid
    At a glance

    Bonds in ten seconds

    Drawn from the 4 UK platforms we track in this category and our editorial research.

    Typical investment
    £5–£25k
    Investment horizon
    3–7 years
    Liquidity
    Very low
    Risk
    Medium–high
    Return potential
    Low–medium
    Income
    High, fixed
    UK retail access
    Restricted since 2020
    Common structures
    Debentures, mini-bonds, retail bonds, IFISA bonds
    What it is

    What is bonds?

    Alternative bonds are fixed-term loans to a single company or project, sold directly to individuals rather than through a stock exchange. You receive a fixed coupon and your capital back at maturity — if the issuer can pay.

    After a series of failures the FCA banned mass-marketing of speculative mini-bonds to retail investors in 2020. What remains is a smaller market of regulated platforms, mostly funding green and social projects.

    How it works

    The bonds lifecycle

    A single issuer, a fixed term, no secondary market
    1. 01

      Issue

      A company or project publishes an offer document and coupon.

    2. 02

      Subscribe

      Investors lend for a fixed term, often within an IFISA.

    3. 03

      Coupon

      Interest is paid semi-annually or annually.

    4. 04

      Monitor

      Platforms report on the issuer; investors have no control.

    5. 05

      Maturity

      Capital is repaid — or restructured if the issuer is in difficulty.

    Ways to invest

    Three ways to get bonds exposure

    Regulated

    Platform debentures

    Green and social project bonds on FCA-regulated platforms from £5.

    £5+ minimumVery low liquidity
    Listed

    ORB retail bonds

    Exchange-listed corporate bonds on the London Stock Exchange ORB market.

    £100+ minimumMedium liquidity
    Funds

    Bond funds & trusts

    Diversified credit exposure via OEICs and investment trusts.

    £100+ minimumHigh liquidity
    Returns

    What returns look like

    Fixed coupons for the term, then principal. The return is entirely dependent on one issuer surviving — there is no upside beyond the coupon.

    Coupon
    Fixed annual interest, typically 4–8%.
    Term
    Years to maturity — capital is locked until then.
    Security
    Whether the bond is secured on assets or unsecured.
    Risks

    What can go wrong

    Capital is at risk. Most bonds products are high-risk investments under FCA rules and may require an appropriateness assessment.

    Issuer default

    Single-company exposure; London Capital & Finance lost investors £237m.

    No FSCS protection

    Bonds are investments, not deposits.

    Illiquidity

    No secondary market; you cannot sell early.

    Unsecured

    Many bonds rank behind other creditors.

    Marketing

    Mini-bonds were mass-marketed with misleading comparisons to savings.

    Concentration

    Investors often held large sums in a single bond.

    Access

    How UK investors can access bonds

    From least to most accessible. Each route trades off minimums, liquidity and control.

    Institutional

    Private placements

    Direct lending and private bonds, £1m+.

    Wealth

    Structured notes

    Bank-issued notes via wealth managers.

    Listed

    ORB retail bonds

    Exchange-traded corporate bonds, £100+.

    Platforms

    Regulated bond platforms

    FCA-regulated project bonds and debentures from £5.

    Funds

    Bond funds

    Daily-dealt OEICs and trusts in an ISA.

    Platforms

    Bonds platforms in the UK

    4 active · 0 closed or inactive

    Abundance logoAbundanceFCA regulatedFCA-authorised UK platform (FRN 525432) financing green and social-impact projects through debentures and Community Municipal Investments.Min £5Debt, EquityRetailBook logoRetailBookFCA regulatedRetailBook (Retail Book Limited, FRN 994238) is an FCA-authorised UK primary issuance platform launched independently in September 2024.Min VariesDebt, EquityWiseAlpha logoWiseAlphaFCA regulatedUK marketplace (FRN 751087) offering fractional access to corporate bonds and gilts from £100, with IFISA and SIPP wrappers, an automated Robowise allocator and a secondary market.Min £100DebtIFG.VC logoIFG.VCFCA regulatedSharia-compliant alternative investments platform (trading as Cur8 Capital) offering venture capital, private equity, real estate and fixed-income products to UK investors seeking faith-aligned options.Min £1,500Debt, Equity
    Compare all 4 platforms →
    Guides

    Go deeper on bonds

    Insights

    Recent research

    FAQ

    Bonds questions

    What is a mini-bond?
    An unlisted, non-transferable bond issued by a company directly to investors. Since 2020 the FCA has banned mass-marketing of speculative mini-bonds to ordinary retail investors.
    Are these bonds protected by the FSCS?
    No. The FSCS covers deposits and certain regulated advice failures, not the default of a bond issuer.
    Can I sell before maturity?
    Almost never. Treat the term as a hard lock-up.
    Can I hold them in an ISA?
    Many platform bonds qualify for an Innovative Finance ISA, making the coupon tax-free.
    How do they compare to gilts and corporate bonds?
    Higher coupons, but single-issuer risk, no rating, no liquidity and far less disclosure.
    Which platforms are still open to retail?
    FCA-regulated platforms funding specific green and social projects — Abundance, Triodos and Energise Africa — remain accessible.
    Related

    Other asset classes

    Private DebtBrowse UK private debt and peer-to-peer lending platforms offering business loans, asset-backed lending, and fixed-income alternatives.InfrastructureUK platforms offering access to infrastructure investments — energy, transport, and digital infrastructure for individual investors.Consumer LendingUK consumer lending and personal loan platforms connecting investors with borrowers through regulated peer-to-peer structures.

    Looking for the full list? Browse every bonds platform in the directory.

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