New here? Start with how home finance works in the UK on the edition hub — Home Purchase Plans, the FCA/PRA-regulated banks, the housing reality, and the ISA/LISA/SIPP wrappers worth screening. Then read each provider below, and click through for the full per-provider read.
How we grade
The Six Pillars
Every provider on this page is read against the same six questions — the universal lens this site applies to any home-finance contract, anywhere. The labels change between markets; the test does not. And the underlying case against riba — why it is prohibited at all — is the same everywhere, and lives on /why and /structures.
- 1
Real ownership
Does the financier genuinely take ownership of the asset — even briefly — and bear a real owner's risk, rather than only ever holding a debt secured against it?
- 2
Risk-sharing
If the asset is destroyed or its value collapses, does the financier share that loss in proportion to its stake, or is the customer left bearing it alone?
- 3
Rent vs interest
In a lease/co-ownership, is the rent benchmarked to a genuine market rent for the property — or is it calibrated to an interest rate (a base-rate + margin) in disguise?
- 4
Default mechanism
On default, does the contract behave like the end of a real lease/partnership — or does it accelerate like a loan, demanding the full outstanding 'principal' plus charges?
- 5
No guaranteed pre-fixed return
Is the financier's return tied to real ownership and risk, or is it a pre-fixed, guaranteed sum that arrives regardless of what happens to the asset?
- 6
Substance over form
Strip away the Arabic labels: does the cashflow, risk, and outcome differ from a conventional loan — or is it the same economics wearing a compliant name (ḥiyal)?
Comparison table
Every provider operating in the British market read against the framework, grouped by tier — the verdict reflects the publicly-described structure, and the primary concern is the single biggest open question for that provider. Read the full per-provider entry below before relying on any verdict.
Banking & home finance
The UK is the only Western market with fully FCA/PRA-regulated Islamic banks offering FSCS-protected savings alongside home-purchase plans. That regulatory standing is factual; it does not by itself settle the Shariah question on any individual home-finance contract.
StructureHome Purchase Plans (Diminishing Mushārakah + Ijārah) + Buy-to-Let + savings
An FCA/PRA-regulated Islamic bank with FSCS-protected savings and a named, AAOIFI-linked Shariah board — and, since Al Rayan's exit from residential home finance, one of the principal providers of Home Purchase Plans to UK owner-occupiers. HPP and BTL permissibility is contract-dependent; verify how the rent (profit rate) is calibrated and whether the bank shares loss. Preliminary.
Contract-grade public documents were read directly (e.g. a full Terms & Conditions or a scholar-reviewed contract). This rates our certainty, not the provider’s compliance.
StructureCo-ownership (Diminishing Mushārakah) home purchase plan
An FCA-authorised home-finance fintech focused on first-time buyers and higher finance-to-value, certified independently by Amanah Advisors (Mufti Faraz Adam's firm). One of the more active residential HPP providers now serving UK owner-occupiers. Buy-to-let products are not FCA-regulated. Permissibility depends on genuine shared ownership, the rent basis and the buy-out terms. Preliminary.
Provider white papers, FAQs or fatāwā were read, but the executed contract itself is not public. This rates our certainty, not the provider’s compliance.
StructureCo-ownership + leasing (Diminishing Mushārakah + Ijārah); bridging, BTL, and now residential HPP
A Birmingham-based Islamic property-finance fintech that began in Shariah-compliant bridging and, in March 2025, received FCA authorisation to provide residential Home Purchase Plans (reported as the first new HPP licence to a newly-authorised entity in 7+ years). Important honest gap: its specific certifying scholars are not published on its own pages — confirm directly. Preliminary.
Provider white papers, FAQs or fatāwā were read, but the executed contract itself is not public. This rates our certainty, not the provider’s compliance.
StructureDiminishing-Mushārakah home & asset finance ('debt-free' model)
A non-bank provider positioning on a 'truly debt-free' diminishing-mushārakah model, examined in an academic case study. The thinnest verifiable footprint in this market: its FCA authorisation status and Shariah board could not be confirmed from primary sources. Check the FCA Register before engaging. Preliminary.
Provider white papers, FAQs or fatāwā were read, but the executed contract itself is not public. This rates our certainty, not the provider’s compliance.
StructureSavings & deposits (Islamic) — has stopped offering new residential home finance
The UK's oldest Islamic bank (founded 2004 as Islamic Bank of Britain), fully FCA/PRA-regulated with FSCS-protected deposits. Important and now verified: Al Rayan has STOPPED offering new residential home finance (HPP) — its site routes only to 'Existing HPP' servicing, and IFG's review carries an editor's note (8 May 2025) confirming it. Do not approach it as a current owner-occupier home-finance provider; for HPPs see Gatehouse, StrideUp and Offa. Its savings products remain.
Contract-grade public documents were read directly (e.g. a full Terms & Conditions or a scholar-reviewed contract). This rates our certainty, not the provider’s compliance.
StructureOwner-occupied Home Purchase Plan — Ijārah (lease-to-own co-ownership) and a separate Commodity Murābaḥa (Tawarruq) route
Formerly Ahli United Bank UK, now KFH PLC after the Kuwait Finance House acquisition — a genuine PRA/FCA-authorised, FSCS-protected bank offering an owner-occupied HPP. Its Ijārah HPP is a defensible co-ownership-plus-lease structure; but it also offers a Commodity Murābaḥa (Tawarruq) route that carries active scholarly dissent (the OIC Fiqh Academy has ruled organised tawarruq impermissible, even as AAOIFI permits it). Geography is restricted to London and the Home Counties with a £250k minimum, limiting accessibility for most UK Muslims.
Provider white papers, FAQs or fatāwā were read, but the executed contract itself is not public. This rates our certainty, not the provider’s compliance.
StructureDirect property Murābaḥa (cost-plus sale at a fixed mark-up) — private banking, London residential only
A legitimate PRA/FCA-authorised Islamic bank with a strong SSB (including Sheikh Nizam Yaquby), offering a direct property Murābaḥa for London residential purchase. Structurally this is a recognised contract (the bank actually buys the property and resells at a disclosed mark-up — distinct from contested Commodity Murābaḥa/tawarruq). But it is private banking with a £1,000,000 minimum relationship balance, London-only, so it is not a realistic option for the vast majority of UK Muslims.
Provider white papers, FAQs or fatāwā were read, but the executed contract itself is not public. This rates our certainty, not the provider’s compliance.
StructureCommodity Murābaḥa (Tawarruq) residential property finance — but ONLY for GCC residents buying UK property
A critical scope clarification for UK Muslims: Nomo (the digital brand of Bank of London and The Middle East, PRA/FCA-authorised, FSCS-protected) offers residential property finance, but its own intermediaries criteria restrict it to residents of GCC countries (Bahrain, KSA, Kuwait, Qatar, UAE, Oman) purchasing UK property — UK residents cannot apply. Its structure is Commodity Murābaḥa (tawarruq), which carries the same OIC-vs-AAOIFI scholarly split. Listed so UK-based buyers do not wrongly assume Nomo is an option for them.
Contract-grade public documents were read directly (e.g. a full Terms & Conditions or a scholar-reviewed contract). This rates our certainty, not the provider’s compliance.
StructureIslamic digital-banking app (current accounts, Visa debit, FX, ethical controls) — operated as an EMD Agent of Payrnet; the company is now legally dissolved
A consumer alert rather than an option. Rizq Financial Technologies Ltd was DISSOLVED on 9 January 2025 (Companies House, no. 12460673), yet the getrizq.co website remains live — a real risk of consumers assuming it is active. It operated as an EMD Agent of Payrnet Limited, whose Lithuanian EMI licence was revoked in June 2023 for serious AML violations (bankruptcy proceedings followed). EMD-agent e-money balances were never FSCS-protected. Do not open accounts; existing holders should withdraw and close immediately.
Contract-grade public documents were read directly (e.g. a full Terms & Conditions or a scholar-reviewed contract). This rates our certainty, not the provider’s compliance.
Investing
Screened-equity products clear the structural lens more cleanly than home finance — they are investments, not debt. Still verify the screening methodology and the dividend-purification policy of each.
StructureFCA-authorised halal digital wealth manager (robo-advice)
An FCA-authorised digital halal investing platform with layered Shariah oversight (Shariah Review Bureau as certifier plus a named ethical board). Structurally an investment product, so the lens is favourable. Verify the screening methodology, fee stack and how dividends are purified.
Read the contract →StructureHalal private-markets / alternative investments platform
A halal private-markets platform (VC, private equity, private credit, real estate) spun out of Islamic Finance Guru, with Shariah oversight reported via Amanah Advisors. Structurally investment-based, but private-markets deals are high-risk, illiquid and generally not FSCS-protected. Note the IFG/Cur8 common ownership when reading IFG coverage. Do your own due diligence on each deal.
Read the contract →StructureIslamic personal-finance app (budgeting, saving, halal investment marketplace)
A Muslim money/budgeting app with a halal investment marketplace — software and distribution rather than a fund or adviser. Compliance for any product you buy rests with the third-party provider, not a Kestrl fatwa board. For each product, check the actual provider, the regulatory protection, and who certifies it.
Read the contract →StructureShariah-compliant P2P property-finance platform + first Shariah IFISA
A directly FCA-authorised Shariah-compliant peer-to-peer property-finance platform that launched the UK's first Shariah Innovative Finance ISA (2023). Two things keep it off an unqualified pass: as reported at launch its structure is a commodity murābaḥa (organised tawarruq), which carries active scholarly dissent, and its certifying scholars are not published. It is also a high-risk P2P investment — capital is at risk and generally not FSCS-protected. Confirm the current Shariah structure and who certifies it directly.
Read the contract →StructureEquity property crowdfunding via SPVs — passive investment from £100, no leverage or interest; NOT home finance
The UK's first FCA-regulated Islamic fintech and first UKIFC-certified fintech — an equity property crowdfunding platform where investors buy shares in an SPV owning a specific UK property and receive rental income as dividends. Structurally sound (no riba, no debt), but it is a passive INVESTMENT from £100, not a way to buy a home to live in, and it is a high-risk product where capital can be lost. Now part of Sama Group; the certifying UKIFC scholars are not individually named.
Provider white papers, FAQs or fatāwā were read, but the executed contract itself is not public. This rates our certainty, not the provider’s compliance.
StructureFCA-regulated Shariah investment & advice — ISAs, GIAs, SIPPs and bespoke discretionary portfolios; NOT home finance
A long-established (2009), FCA-regulated Shariah investment and financial-advisory firm offering ISAs, pensions and discretionary portfolios screened to AAOIFI-style standards, with FSCS protection and external SRB Shariah audits (UK scholars Mufti Faraz Adam and Sheikh Muhammad Ahmad). Credible and well-suited to investors with significant assets — but it is not a home-finance provider, and minimums ($1k–$50k+) are higher than robo-advisors.
Contract-grade public documents were read directly (e.g. a full Terms & Conditions or a scholar-reviewed contract). This rates our certainty, not the provider’s compliance.