More than half of UK business owners say they have considered leaving self-employment over the past year, according to new research from The Accountancy Partnership.
Rising costs, inconsistent work and unpaid labour are pushing many self-employed professionals to question long-term sustainability.
A survey of 1,060 freelancers and self-employed professionals across the UK found that more than half of respondents (50.7%) have considered quitting self-employment and returning to traditional employment within the past 12 months.
Among those surveyed:
- Nearly one in six (16.4%) said they had seriously considered leaving self-employment altogether
- More than one in three (34.3%) said they had briefly considered returning to employment
- Nearly one in six (16.4%) say they have seriously considered quitting self-employment
- More than a third (34.3%) say they have briefly considered returning to employment
- Seven in ten (70.9%) say unpaid work is expected or becoming more common in their industry
- More than two in five business owners (42%) work at least five unpaid hours every week
The findings highlight the pressures many businesses face as they attempt to balance fluctuating workloads, rising operating costs and increasing administrative responsibilities.
Financial pressures and inconsistent work driving uncertainty
Across several industries, business owners report facing multiple challenges that can make self-employment unpredictable.
Survey data suggests that finding consistent work remains one of the biggest concerns for SMEs, particularly in sectors such as:
- Creative industries, where 40.3% say inconsistent work is their biggest threat
- Construction, where 42.5% report struggling to find consistent work
- Health and fitness professionals, where more than two-thirds (68.6%) say consistent work is their biggest concern
Economic pressures have also played a role, with many freelancers and small businesses reporting that clients are reducing budgets or delaying projects.
For example:
- Half of creative professionals (50.2%) say client budget cuts have negatively impacted their work
- Nearly half of construction workers (46.6%) say inflation and rising costs are hurting their business
These combined pressures can make income less predictable than in traditional employment.
Unpaid work is adding to the pressures
The research also suggests that unpaid labour may be contributing to the strain business owners experience.
Previous findings from the same survey found that seven in ten (70.9%) say unpaid work is expected or becoming more common in their industry, with many regularly completing work that is not directly compensated.
The data shows that:
- More than two in five small business owners (42%) work at least five unpaid hours each week
- Nearly one in four self-employed people (22.9%) say they regularly work more than 10 unpaid hours per week
These unpaid tasks can include preparing proposals, pitching new clients, attending meetings or completing additional revisions outside agreed project scopes.
Administration and tax pressures are also affecting freelancers
Beyond client work, many small businesses say administrative responsibilities add another layer of pressure. Tasks such as bookkeeping, invoicing and tax reporting often take up time outside paid work.
Upcoming changes to tax reporting requirements may increase this workload further. Under Making Tax Digital (MTD) for Income Tax, self-employed individuals earning over £50,000 will need to submit quarterly digital updates to HMRC from April 2026, with further expansions expected in the coming years.
Lee Murphy, Managing Director at The Accountancy Partnership, says these combined pressures can make many question whether self-employment is sustainable long term.
“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.”
Independence is still a major draw for freelancers
Despite the challenges, many continue to value the autonomy that self-employment provides.
Findings from the survey suggest that over half say their work-life balance has improved since becoming self-employed, highlighting why many remain committed to being their own boss, even when facing economic pressure.
Murphy says that while small business owners may occasionally reconsider their career path, the appeal of independence often remains strong.
“For many people, the benefits of being their own boss still outweigh the challenges,” Murphy said. “Self-employment allows individuals to choose their projects, structure their work around their lives, and pursue opportunities that may not exist within traditional employment.”
He added that demand for self-employed professionals continues across many sectors.
“While businesses face real pressures, the flexibility and adaptability of self-employment mean it will continue to play an important role in the UK’s economy.”