However, on asking he was told that it was close to being illegal to build your own trailer for use on the road ...
Male bovine excrement !
We have really quite relaxed rules in the UK for trailers - some of our European neighbours look at us with horror at our lack of regulation.
Basic rules :
Up to max 750kg MAM (Maximum Authorised Mass, aka max gross weight) you don't need brakes, over that you do. If brakes are fitted then they must work, must operate on all wheels, and must use type approved parts (so no more using Mini backplates from the scrappy with the brake cable working on the handbrake mechanism as used to be the norm when I were a lad.)
The brakes must be "auto reverse", and that means the handbrake must have energy storage (spring) otherwise the trailer moving backwards a little will release the handbrake
For this reason, there are are a lot of coupling units where the handbrake is an over-centre spring operated job rather than using a ratchet - because people tend not to yank the lever up to compress the spring when using a ratchet type handbrake. The over-centre type will just spring up further if you trip the auto-reverse devices. The over-centre spring type also avoids the problem where the handbrake can get pulled on a few clicks (eg if the safety cable is too short) and then a powerful tow vehicle can just carry on until the brakes melt - literally, there have been case of aluminium drums have been melted (eg small caravan towed behind large powerful 4x4).
There must be a safety cable in case the coupling detaches - on an unbraked trailer it must keep the trailer attached to the car, on a braked trailer it should fully apply the handbrake and then snap.
Wheels must be covered by mudguards.
The coupling head must not touch the ground when uncoupled - a simple rectangle of flat bar as a "foot" under the drawbar will deal with that.
If the trailer is braked, then the coupling head must be damped - so no using the simpler and cheaper heads that have no damper.
For a small trailer you just need lights (and number plate and reflectors) on the back. Wide trailers need side marker lights (white lights facing forward). Longer trailers need marker lights (amber lights) and reflectors along the sides.
The MAM must be marked on a data plate so the rozzers can easily see if you're overloaded and/or not complying with towing and licensing laws.
And then there's all the stuff like not having sharp bits sticking out or otherwise being dangerous to people around you.
A lot of this is age specific. Old trailers don't have to be retrospectively upgraded - but if you "renovate" an old trailer, I don't think there is any definition of where the line between "renovated old trailer" and "essentially a new trailer" lies.
From memory, with an unbraked trailer, the MAM must not exceed the kerb weight of the car. You must also comply with limits imposed by the car manufacturer. The license restrictions have been covered here quite a few times - and depends whether you only have group B, or have Group B+E either by being an old git like me, or having taken your B+E test if younger.
So not a lot to it really ! Mostly common sense, and a few rules. Don't have a reference to the rules however.