UK Small Business Survey: One in Three Owners Work a Second Job Ahead of Oct 28 Budget
The UK small business survey published by Enterprise Nation, with Newable and the Association of Business Mentors, finds that one in three small business owners work a second job to survive. The findings come ahead of Chancellor John Healey's first Budget on October 28, 2026. The figures are survey results, not government statistics, and the Budget measures discussed below are reported options, not announced policy.
What the UK small business survey found
The Mentoring Matters: Four Years On report draws on 3,406 responses across seven polls since spring 2023. It covers the UK's 5.7 million small businesses.
| Reading | Finding | Signal |
|---|---|---|
| Second job | One in three owners; 44% of them began as a side hustle | Income pressure |
| Working hours | Average 45 hours a week on the business | Long hours |
| No mentor | 57% never had one; 63% of sole traders | Gap for the smallest firms |
| Planning to hire | 53% of mentored owners vs 36% of unmentored | 17-point gap |
| Sought support | 56% of mentored vs 43% of unmentored | 13-point gap |
A separate September Growth on Hold survey of 526 UK small businesses found 69% had delayed or cancelled a growth plan in the last year, and half had cut investment. Among high street businesses, 77% delayed growth plans and 42% cut customer-facing staff. Some 64% of respondents said Britain is a harder place to operate than European peers. Six in ten named VAT among their top three pressures, alongside employer National Insurance, business rates, supply costs and energy bills. Business rates weigh most on shops: 67% pay them against 21% of other businesses. And 54% of high street traders want a VAT cut in the Budget.
Budget options reported
The Chancellor is reported to be considering changes to small business rates relief.
| Item | Current | Reported option | Status |
|---|---|---|---|
| Full relief threshold | Rateable value under £12,000 | Raise to £17,096 (inflation-linked), about 42.5% higher | Not announced |
| Tapered relief | None | Up to £20,000 rateable value | Not announced |
Mr Healey is reported to have held workshops with business groups. The decisions will be known only when he delivers the Budget.
What the organisations said
Aaron Asadi, chief executive of Enterprise Nation, said cost pressures have not gone away, owners are running leaner and working longer, and too many make big decisions alone. He said mentoring works and that matched mentors should be put within reach of solo founders and the smallest firms. Flora Hamilton, executive director of the Small Business Charter, said good mentoring needs a human dimension. Lord Leong, Minister for Small Business and Enterprise, said mentoring gives owners confidence and practical insight.
What to Watch
- October 28, 2026: Chancellor John Healey's first Budget, including any changes to business rates relief, VAT or National Insurance.
