Isn't that just a grilled cheese with extra steps?
Depends what recipe you follow. For the most part, a cheese toasty
should be grilled in the oven under a broiler, no butter needed. Cheeses used should be actual cheese, and fairly strong (a strong cheddar, for instance), and you can enhance the flavours with a touch of marmite, turmeric or a nice spice mixture of your own concauction. Plenty of oomph and not fried in butter. Granted, there are loads of cheese toasty recipes that basically follow the grilled cheese rules of frying in butter, and while those taste ok too, I've always loved a good cheese toasty made properly.
Edit -- should also mention that some like to separate them as different things, calling the real version cheese on toast and the fried version a cheese toasty...I grew up knowing the real version as a cheese toasty, so that's why I call it that, but a lot of people call it cheese on toast.