Rising Costs And Work-Life Balance Are Driving Britain’s Home Business Boom

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Britain's entrepreneurs are increasingly choosing to run businesses from home as rising commercial costs, greater flexibility and changing attitudes towards work reshape the country's small business landscape.

New research from Dunster House, garden building specialists, found that almost half (46%) of home business owners now rely on their venture as their primary source of income, while a further 28% say it provides a significant financial contribution to their household finances.

The findings suggest that home businesses have evolved far beyond side hustles, with many entrepreneurs deliberately building long-term businesses from spare bedrooms, garages, garden rooms, and other home workspaces.

When asked what motivated them to start a home-based business, respondents overwhelmingly cited lifestyle benefits over financial necessity, with nearly half saying that a better work-life balance was their top motivator.

Why are Brits choosing to run businesses from home?

Motivation	% of respondents
Better work-life balance	47%
Wanted to work remotely or from home	36%
Wanted more flexibility	36%
Turned a hobby or passion into a business	32%
Wanted to leave their job	31%
Wanted to spend more time with family	29%
Started a side hustle to earn additional income	22%
Renting commercial space was too expensive	14%
COVID-19 prompted a change in direction	12%

Although the data shows that quality-of-life factors dominate, cost remains an important consideration. Commercial property rents in the UK have risen by an average of 3.1% annually as of mid-2026, according to the Carter Jonas Commercial Market Outlook and with this rise, many entrepreneurs are choosing to invest in their own properties rather than commit to expensive premises.

Christopher Murphy MBE, founder of Dunster House, said:

"For many entrepreneurs, running a business from home removes one of the biggest barriers to getting started, the cost of commercial premises. As rents and operating costs continue to rise, more people are realising they don't need a high street unit or office lease to build a successful business. Home working has made entrepreneurship more accessible, allowing people to invest in growing their business rather than covering overheads."

55% regularly work evenings and weekends as home businesses blur work-life boundaries

Despite the flexibility and freedom, there are some payoffs that are being experienced by those who do business out of their home. Many entrepreneurs admit that separating work and home life can be difficult.

More than half (55%) say they regularly work evenings and weekends, while almost half (48%) have experienced loneliness or isolation because of running a business from home.

Meanwhile, one in three (33%) have had customers unexpectedly turn up at their home, highlighting the difficulties many face in maintaining professional boundaries. The findings also reveal the growing pressure that businesses can place on domestic spaces, with 58% saying their enterprise has taken over parts of their personal living environment.

To address these challenges, many entrepreneurs are investing heavily in dedicated workspaces. Nearly two-thirds (62%) have already spent money improving their workspace, with respondents investing an average of £5,170 into creating environments better suited to running a business.

When asked what improvements they would make if budget were no obstacle, better broadband and Wi-Fi (34%), improved heating and air conditioning (34%), and a fully insulated garden office (32%) topped the list.

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May 5
2 min read

UK top 10 accountancy firm Azets has a new office in Kettering for the first time in more than 50 years.

The firm has moved into purpose-built Orion House on Kettering Venture Park after vacating its long-term base at Thorpe House, Headlands.

Orion House, known locally as the old Pegasus building, is a multi-let office building on Orion Way, south of the town centre.

Office Managing Partner Paul Tyler said:

“It was time for a change. We loved Thorpe House, but we had simply outgrown it and needed somewhere fit for a modern accountancy firm. It was essential we remained in Kettering to meet the needs of our valued clients. We had been looking for two years before Orion House became available and it proved to be the ideal solution."

“Perfectly located for transport links and amenities, it very much gave us a blank canvas on which to design, fit out and future-proof an office to meet both our and our clients’ needs. We now have ample space to house our 28-strong team, with room to grow, and give them a little more breathing space than was available in our much loved Thorpe House."

“Our meeting rooms can accommodate both small and large gatherings, plus we have a spacious reception area, training places, breakout spaces, the latest technology and plenty of parking. For us at Azets it is a new beginning – we look forward to welcoming clients old and new to Orion House.”

Azets has taken a modern ground floor suite at Orion House which has excellent access to Junction 9 of the A14. Commercial property agent Berrys advised on the move.

The estate is surrounded by other office and industrial parks with the likes of Kettering Retail Park, Tesco, McDonalds and the Kettering Park Hotel & Spa all within close proximity.

Azets, the UK’s specialist business advisor to SMEs, has long had a presence in Kettering and is a full service accountancy practice including audit, accounting, business advisory and tax services.

Paul Tyler has been with the firm, and its predecessor business Smith Hodge & Baxter, for 25 years in a few months’ time. However, he is not the longest-serving member of staff. That honour goes to Mark Bardshaw, Associate Director, who joined the firm in 1982 and is celebrating 44 years in 2026.

Azets will be commemorating the move into Orion House with a drinks reception at a later date and staff are looking forward to continuing their charitable commitments for the local area, having raised more than £2,560 for Brest Friends in 2024 and £2,160 for Animals in Need in 2025.

Top photo: New Boardroom - Azets’ Kettering Office Managing Partner Paul Tyler and Director Kathryn Walshaw in the boardroom at the firm’s new headquarters in the town at purpose-built Orion House on Kettering Venture Park

Spacious Premises - Azets’ new office at purpose-built Orion House on Kettering Venture Park and, bottom, Office Managing Partner Paul Tyler with members of staff

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Rising Costs And Work-Life Balance Are Driving Britain’s Home Business Boom

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