A recent report from the Office for National Statistics (ONS) revealed that as of January 2020, 5 million people were self-employed. This has risen by 4% since 2018, and 2.26% from 2019.
Between January and May 2020, 200,000 more people have become self-employed, meaning self-employment has risen by 4% in the middle of a global pandemic.
Why are people becoming self-employed?
The most common reasons for their decision to move to self-employment were freedom, flexibility and choice.
84% of self-employed females said that when they worked was a big factor in their choice and 83% said having more freedom was important. 73% said self-employment would enable them to have a better work-life balance.
Although there are more self-employed men than women, the rate at which women are becoming self-employed is much faster.
Between October 2019 and January 2020, 108,000 women became self-employed, as opposed to the 92,000 men who became self-employed. That’s 16,000 (8%) more women than men.
The number of workers in the UK who plan to become their own boss almost doubled in 2018, according to research.
Aldermore polled 2,003 adults and found that 29% aimed to start their own business in the future, up from 15% in 2017.
Some 18% of those intended to make the switch in 2019, while 28% believed they would give up full-time work to become their own boss by 2021.
Of those respondents, 15% planned to launch a business in the retail sector, followed by 11% in catering and accommodation.
This optimism was backed up by positive responses from those who had already made the transition to self-employment.
Nearly a third (29%) expected their income to grow in 12 months, while 48% expected it to remain the same.
The majority (93%) said they enjoy being their own boss, and 51% have been able to earn more than they did in their previous job.
Charles McDowell, commercial director at Aldermore, said:
“The research demonstrates that the UK is a truly entrepreneurial nation with 9 million people considering making the ambitious move to become self-employed.
It is encouraging to see almost 3 in 10 expect their revenues to increase in the next 12 months, which is a positive outcome in light of myriad uncertainties.”
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