so it turns out doing relative file paths for the symlink worked a treat, but i was still having issues with config.txt
I managed to track it down though. Mounting the boot partition, changing the config, then unmounting wasn't actually working!! if i re-mounted again straight away, it would be back to the original files.
I found a fix though, you have to mount the loop device with a sync flag, this stops it caching the changes and makes it work as expected :)
thanks again for your help @mitu :)