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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Oct 25, 2024
2 min read

Exciting progress is being made at Lido Musselburgh as work begins on the highly anticipated café, bar, and restaurant, set to open this winter.

Operated by one of Scotland’s leading hospitality groups, Buzzworks, Chairman Colin Blair has confirmed that several major milestones have already been reached, marking further progress on the new venue.

Following on from the success of sister venues already operating in Troon and Prestwick, fitting works have started on the company’s third Lido opening, representing the family-run business’ first venture into Musselburgh and generating more than 60 new jobs for the local economy.

Air conditioning is now being installed across the venue, while partition walls have been completed to shape the bathrooms, kitchen, and back-of-house areas. Essential infrastructure for the bar and kitchen, including floor drains, has been installed, and the mains gas supply—powering the much-anticipated pizza oven—has been connected.

Additionally, tiles and timber flooring are due to arrive next week, and kitchen equipment is set to be installed ensuring Lido is equipped with the very best. Colin said:

"It’s a great moment for Buzzworks to see the progress at Lido Musselburgh and begin installations for our soon-to-open 21st venue."

“With the building really starting to take shape and our recruitment drive in full swing, we’re getting closer to welcoming our guests into what will be a vibrant and stylish space for the whole community.”

Vivien Bryan, resourcing partner at Buzzworks, said:

“We are very excited to become part of the Musselburgh community, offering local jobs to local people. As Lido continues to build its team, there are some exciting opportunities available for full & part time positions across both front-of-house and kitchen teams."

“We will be holding Recruitment Open Days on the 29th & 30th of October and extend a warm welcome to anyone interested in being part of this exciting new development”.

If you or anyone you know is interested in working at Lido – or any of Buzzworks’ other venues across Scotland – please visit here, check out the Buzzworks People Facebook, Instagram or the Buzzworks Holdings LinkedIn page to find out more or apply with your CV here.

Alongside Lido Musselburgh, the award-winning company offers an aspirational dining and entertainment experience across Scotland through its other stylish brands – Scotts, House, Vic’s & The Vine, The Duke, Thirty Knots, The Bridge Inn, The Fox and Herringbone.

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

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