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



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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  • Aug 2, 2023
  • 2 min read

Staff members from Mayfield View, a nursing home in Ilkley battled gale force winds and rain as they took part in ‘Zip the Cow’ charity event to raise money for Sue Ryder Manorlands Hospice.


The event hosted by Sue Ryder and sponsored by various local organisations, including Mayfield View which is operated by Springfield Healthcare, a Yorkshire care provider which manages six other care homes across the region, was a huge success, raising over £50,000.


Despite gusty winds, rain and plenty of nerves, three members of staff from the 80-bed care home which provides nursing, residential and dementia care took on the challenge which saw them zip line 270m from the top of the iconic ‘cow’ at the Cow and Calf rocks in Ilkley at speeds of up to 35mph.


The trepid trio raised over £1,000 for the Sue Ryder Manorlands Hospice – a charity they have worked with for many years to provide palliative care to many of their residents.


Sally Carter, clinical deputy manager at Mayfield View said, “The nerves only kicked in with all the wind and rain at the top, but it was amazing fun once you jumped off. Everyone we met was so supportive and friendly and it was a well worthy charity to support.”


Residential deputy manager at Mayfield View, Jay Garraton added, “I wasn’t scared, but excited. Once I had done it, I wanted to climb up and do it again to get a better photograph.”


Joana Dower, a care assistant at the home also said, “I was nervous and excited as I’ve never done a zip line before. After I did it, I felt so happy and would have done it again!”


As Mayfield View is in close proximity to the Cow and Calf rocks, and due to such unfavourable weather, residents were able to cheer on staff from the comfort of their home as they watched from the window.



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