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Self-employment

The £3,000 ‘side-hustle’ allowance: What it really means for small businesses

3 November 2026
A stylised filament light bulb.

The Budget has announced an increase to the trading allowance from £1,000 to £3,000. But who benefits, when does it start, and can existing sole traders simply stop declaring their first £3,000 of income? We explain what the change really means.

Categories Practical Advice Tags Self-employment, Small business, Sole Trader, Trading allowance, UK tax
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