Half of UK business owners consider quitting self-employment as pressure mounts 

More than half of UK business owners have considered leaving self-employment in the past year, according to new research that highlights growing financial and operational strain across the workforce. 

A survey of 1,060 freelancers and self-employed professionals by The Accountancy Partnership found that 50.7 per cent have thought about quitting self-employment and returning to traditional employment within the last 12 months. Of those, 16.4 per cent said they had seriously considered leaving altogether. 

The findings point to a workforce under pressure, with implications not only for economic output but for workplace health and wellbeing, particularly as financial insecurity and unpredictable workloads continue to rise. 

Rising costs, inconsistent income and increasing unpaid work are driving uncertainty. More than a third of respondents (34.3 per cent) said they had briefly considered returning to employment, while seven in 10 (70.9 per cent) reported that unpaid work is expected or becoming more common in their industry. 

More than two in five (42 per cent) said they complete at least five hours of unpaid work each week, with nearly a quarter (22.9 per cent) reporting more than 10 unpaid hours. This includes time spent pitching for work, managing clients and handling additional revisions, all of which can contribute to longer working hours and increased stress. 

For UK organisations, the data reinforces a broader shift. As more individuals move between employment and self-employment, or operate in hybrid working models, financial wellbeing and job security are becoming critical components of workforce health. 

Inconsistent work remains a major concern across sectors. In the creative industries, 40.3 per cent cited irregular work as their biggest challenge, while 42.5 per cent of those in construction reported the same issue. Among health and fitness professionals, more than two thirds (68.6 per cent) said consistent work is their primary concern, highlighting the direct link between sector stability and wellbeing. 

Economic pressures are compounding the issue. Half of creative professionals (50.2 per cent) said client budget cuts have negatively impacted their work, while 46.6 per cent of construction workers pointed to inflation and rising costs as key challenges. 

Administrative demands are also increasing. Tasks such as bookkeeping, invoicing and tax reporting often fall outside paid work, adding to workload and cognitive strain. Upcoming changes under Making Tax Digital for Income Tax will require self-employed individuals earning more than £50,000 to submit quarterly updates to HMRC from April 2026, further increasing the administrative burden. 

Lee Murphy, managing director at The Accountancy Partnership, said the combination of pressures is causing many to reassess their future. 

“Self-employment offers flexibility and independence, but it can also come with significant uncertainty,” Murphy said. “Many people experience periods where work slows down or costs rise, which can naturally lead them to question whether a more traditional role might offer greater stability.” 

Despite the challenges, the appeal of independence remains strong. More than half of respondents said their work-life balance has improved since becoming self-employed, suggesting autonomy continues to be a key driver. 

Murphy added: “For many people, the benefits of being their own boss still outweigh the challenges. Self-employment allows individuals to choose their projects, structure their work around their lives, and pursue opportunities that may not exist within traditional employment.” 

Supporting financial stability, reducing administrative burden and improving access to sustainable work will be critical not only for economic resilience, but for protecting the long-term health and wellbeing of the UK’s working population.