A side hustle — earning income outside your main job — has become increasingly common in the UK, with millions supplementing their salary through freelance work, online selling, and other ventures. Whether you want to build an emergency fund, pay off debt, or grow a future business, here is how to get started.
Side Hustle Ideas by Earning Potential
High-Earning Side Hustles (£20–£100+/hour)
| Side Hustle | Typical Earnings | Getting Started |
|---|---|---|
| Freelance consulting (in your profession) | £30–£100+/hour | Use LinkedIn and freelance platforms |
| Web design/development | £25–£75/hour | Portfolio and Upwork/Fiverr |
| Tutoring (academic or music) | £20–£60/hour | Tutorful, Superprof, word of mouth |
| Bookkeeping | £20–£40/hour | AAT qualification helpful |
| Photography | £100–£500/session | Build a portfolio, local marketing |
| Content writing/copywriting | £20–£60/hour | ProBlogger, LinkedIn, cold outreach |
Mid-Earning Side Hustles (£10–£25/hour)
| Side Hustle | Typical Earnings | Getting Started |
|---|---|---|
| Delivery driving (Deliveroo, Just Eat) | £10–£15/hour | Sign up via app |
| Dog walking/pet sitting | £10–£15/hour | Rover, BorrowMyDoggy |
| Selling on eBay/Etsy | Variable | Source products, create listings |
| Virtual assistant | £12–£25/hour | Freelance platforms |
| Cleaning services | £12–£20/hour | Hassle, local advertising |
| Task-based work (TaskRabbit) | £15–£25/hour | Sign up, set your rates |
Lower-Earning but Accessible
| Side Hustle | Typical Earnings | Notes |
|---|---|---|
| Online surveys (Prolific, Swagbucks) | £3–£8/hour | Low effort, low return |
| Cashback sites and apps | £100–£500/year | Passive but slow |
| Matched betting | Variable | Tax-free but requires learning |
| Renting out a room (SpareRoom) | Up to £625/month tax-free | Rent-a-room relief |
| Renting your parking space | £50–£200/month | JustPark, YourParkingSpace |
Tax Rules for Side Hustles
The £1,000 Trading Allowance
HMRC gives you a £1,000 trading allowance each tax year. If your total side hustle income is under £1,000:
- No tax to pay
- No need to register for Self Assessment
- No need to report the income
Above £1,000
You must:
- Register for Self Assessment by 5 October after the tax year
- File a tax return by 31 January
- Pay income tax and Class 4 NI on profits
You can either:
- Deduct the £1,000 trading allowance (simpler), or
- Deduct actual business expenses (if higher than £1,000)
Tax Rates on Side Hustle Income
Your side hustle profit is added to your employment income. If your job pays £35,000 and your side hustle profit is £5,000, the £5,000 is taxed at your marginal rate — likely 20% income tax plus 6% Class 4 NI = 26% on profits between £12,570 and £50,270.
National Insurance
If your side hustle profit exceeds £12,570 (2025/26), you pay Class 4 NI at 6% (up to £50,270) and Class 2 NI — these are paid through Self Assessment.
Getting Started: A Step-by-Step Plan
1. Choose Your Side Hustle
Consider your skills, time availability, and earning goals:
- Have 2-3 hours after work? Freelancing or online tutoring
- Flexible weekends? Pet sitting, photography, or market trading
- Passive income? Renting a room or parking space
2. Start Small
Test your idea before investing heavily. Most side hustles require minimal upfront cost — your time is the main investment.
3. Set Boundaries
Protect your main job and personal wellbeing:
- Set specific hours for side work
- Do not let it affect your day job performance
- Take time off when you need it
4. Track Your Income and Expenses
From day one, keep records of:
- All income received
- All business expenses
- Invoices and receipts
This makes tax time simple and ensures you claim everything you are entitled to.
5. Open a Separate Bank Account
Keep side hustle money separate from personal finances. A basic current account is fine — you do not need a business bank account unless you are trading under a business name.
Scaling Up: From Side Hustle to Self-Employment
If your side hustle grows, you may reach a point where it could replace or supplement your day job:
| Milestone | Action |
|---|---|
| Consistent £500+/month | Track profitability, build an emergency fund |
| Income approaching day job | Consider going part-time |
| Income exceeding day job | Evaluate full self-employment |
| Turnover approaching £90,000 | Consider VAT registration |
See our sole trader guide and registering as self-employed guide for the next steps.