The amount people in the UK can earn from a side business before paying tax will rise from £1,000 to £3,000 a year from April 2027, The Guardian reports, after the change was confirmed in the budget.
Up to 1.4 million people could gain, including around 400,000 who will see their tax bill fall by an average of £380. About 100,000 will no longer need to declare trading income to HM Revenue and Customs at all.
Side incomes such as reselling, tutoring and dog-walking have grown quickly. HMRC data obtained by the accountancy firm Lubbock Fine showed 2.6 million people sold goods through platforms such as eBay, Vinted and Etsy last year, up from 450,000 in 2024. Personal finance experts welcomed the reduced paperwork but said sellers should understand the difference between clearing out personal belongings and trading for profit.
Source: The Guardian
