In today’s blog, I’m going to explore a report that’s been recently released around the growing ambitions amongst adults to start a business in 2025.
The entrepreneurial spirit in the UK is reaching new heights. According to a recent report from Enterprise Nation in the UK called StartUp Ambition report, nearly half of UK adults (47%) are considering starting a business or side hustle in 2025 – a significant increase from previous years, including a rise of 12% on 2024.
For small business owners and budding entrepreneurs in the UK, this signals a cultural shift where self-employment and small business ventures are becoming mainstream career aspirations.
So, what's driving the entrepreneurial surge? The report reveals the main motivators behind this trend with 33% of respondents citing a desire to earn extra cash to keep up with rising living costs, while another 33% aim to monetise a skill or hobby.
Notably, younger generations are leading the charge. Among 18- to 30-year-olds, 62% are planning to start a business, and over half (51%) of those aged 31–40 are similarly ambitious.
Emma Jones CBE, the founder of Enterprise Nation, highlights this as a pivotal moment saying…
“What we're witnessing is nothing short of a cultural shift. The number of people who want to start a business just keeps on expanding every year, it's incredible. It demonstrates that new generations now entering the world of work see starting a business as a mainstream career option and it's something that the majority of working-age people expect to do at some point in their life. What's also behind this is a decade of wage stagnation – people want to increase their income while doing something they love or are good at. But it's also about the accessibility of technology and good-quality business support that helps people to get started and grow."
Interestingly, when asked about entrepreneurial role models, 17% of the respondents said they were most inspired by family members, while over a third found no relatable public figures. This underscores the importance of tailored business support and relatable success stories.
Despite the current economic challenges, job insecurity was not a major driver for most would-be entrepreneurs. Only 6% mentioned job loss fears as a motivator, and fewer people are starting businesses to supplement part-time work or zero-hours contracts (down from 33% in 2024 to 9% in 2025). Instead, personal fulfilment and passion projects are driving many. 36% of 18 to 24 year olds are motivated by doing something they enjoy, and women are leading the way in combining side hustles with other responsibilities with 59% compared to 49% of men.
So, what are the hot sectors for start-ups? Food and drink (14%) and arts and crafts (15%) remain hot sectors for new businesses, while beauty dominates among younger entrepreneurs aged 18 to 24 (16%). Tech start-ups are thriving in hubs like London and Newcastle-upon-Tyne, while Liverpool is emerging as a hotspot for manufacturing businesses. Cities like Liverpool, Glasgow and Cardiff are home to aspiring entrepreneurs particularly motivated by financial necessity. For example, 43% of Liverpudlians cited worries about paying the bills as a reason to start up, compared to 41% in Glasgow and 38% in Cardiff.
There was an overwhelming acknowledgement that people looking to start a business need to overcome barriers with support. Many budding entrepreneurs are looking for business support, particularly younger generations who are concerned about funding and navigating economic challenges. Yet, older age groups (51 to 64) are the most unsure about what resources are available to them.
Here at Purple Yak, we’ve created many resources to support budding entrepreneurs as well as existing small business owners. Ranging from free informational resources to paid programmes including business coach support to help you quickly set up your business and navigate the heavily lifting of starting your business.
One of our signature programmes is the Start-up Accelerator, a 8 week programme to help you start your business, provide templates, guided coaching, training videos on how to run a business, how to attract the right customers and much, much more.
Find out more by visiting www.purpleyak.co.uk.
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Back to the report, it also highlights income expectations for first-year businesses. Full-time entrepreneurs anticipate earning an average of £34,000 in their first year, although women's expectations remain significantly lower than men's (£28,658 vs. £37,865). For side hustlers, expected earnings average £5,765 – a slight increase from 2024 expectations.
The Enterprise Nation, StartUp Ambition report, reveals a surge in entrepreneurial spirit in the UK, with nearly half of adults considering starting a business in 2025. Younger generations are leading the charge, driven by a desire for financial independence and personal fulfilment. Despite economic challenges, the report highlights the importance of tailored business support and relatable success stories for aspiring entrepreneurs.
If you’re one of the 47%, I would urge you to take your first steps and act now. If you have any fear about starting a business, that’s a good start, it means it’s a gamble worth taking. Beyond fear is growth but increase your chances of success by getting support be this paid or free support. A scary but true stat is that 81% of all start-ups fail in the first year, the root cause of the majority of these failures are due to a lack of business basics. The good news, these are simple once you know about them and understand how to manage them.
Here’s to an exciting 2025, your journey and wherever it takes you, only you can decide that.
That concludes today session.
Got a burning question? Reach out on our social channels or email me at michael@purpleyak.co.uk
Thank you so much for reading.
Take care.
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