The number of people using their homes as work spaces has risen to its highest level since records began, according to the Office for National Statistics (ONS). Home workers are likely to be well-paid and highly skilled. Just under 15% of home workers are managers or senior officials, while 35% are professionals. Median wages are £13.23 an hour, compared with £10.50 an hour for other workers. Key points:
- Of the 30.2 million people in work in January to March 2014, 4.2 million were home workers, giving a home worker rate of 13.9% of those in work. This is the highest rate since comparable records began in 1998.
- The number of home workers has grown by 1.3 million and the rate by 2.8 percentage points since 1998.
- Almost two-thirds of home workers were self-employed in 2014. Check out the full report is on the ONS website.
What to check before starting a work-at-home business? Depending on the nature of your business, you may need to:
- Check with your mortgage lender or landlord/freeholder - further information about using your home to run a business may be contained in your mortgage or tenancy agreement.
- Check with your insurance provider, to see if you need to take out extra insurance.
- The Valuation Office Agency (VOA), to see if you will be charged business rates - guide Business Rates
- HM Revenue & Customs and an accountant, to check your income, VAT and Capital Gains Tax position.
- The planning and building control department of your local authority, to see if you need planning permission or to comply with building regulations. More information here.
You do not necessarily need planning permission to work from home. The key test is whether the overall character of the dwelling will change as a result of the business. If the answer to any of the following questions is 'yes', then permission will probably be needed:
- Will your home no longer be used mainly as a private residence?
- Will your business result in a marked rise in traffic or people calling?
- Will your business involve any activities unusual in a residential area?
- Will your business disturb your neighbours at unreasonable hours or create other forms of nuisance such as noise or smells?
Whatever business you carry out from your home, whether it involves using part of it as a bed-sit or for 'bed and breakfast' accommodation, using a room as your personal office, providing a childminding service, for hairdressing, dressmaking or music teaching, or using buildings in the garden for repairing cars or storing goods connected with a business - the key test is: is it still mainly a home or has it become business premises? More information at the Government Planning
Portal.
