9 trending small business ideas for 2026

We analysed all new Simply Business business insurance policies taken out in 2024 and 2025 to find the fastest growing small business sectors.

Learn more about the top nine trades expected to grow the fastest in 2026:

Business idea	Growth rate (2024-2025)	Opportunity
Carer	34%	Control over schedule and high earning potential
Security guard	34%	Work opportunities all year round
Teacher/tutor	23%	High demand ahead of key exam periods
Home baker	23%	Benefit from flexibility and creative freedom
Hairdresser	21%	Reliable business model with room to scale
Photographer	19%	Strong seasonal demand for weddings
Property managing agent	14%	High demand from compliance-conscious landlords
Crafter	13%	Low cost and easy to get started
Electrician	11%	Stable industry with high earning potential

1. Carer

Self-employed carer tops our list as the fastest growing business idea for 2026 – with 34 per cent growth from 2024 to 2025.

Being a self-employed carer is a good career choice if you have strong communication skills and know how to keep calm under pressure.

And there are plenty of benefits too, from higher earning potential than being employed and flexibility around hours and where you work.

Read our guide to becoming a self-employed carer for more information on key qualifications and finding clients.

Did you know? Self-employed carers can earn significantly more than their employed counterparts, with one council offering £16.65 an hour vs £12.21 an hour.

2. Security guard

Also with annual growth of 34 per cent is security guard, a trade that has built on an already strong performance since our 2025 ranking.

While being a security guard requires a good level of physical fitness to get started, it also comes with low start up costs. And depending on your interests, you can dedicate your time to things like guarding valuables or public surveillance.

Read our full guide to becoming a security guard to help you get started.

Did you know? As of April 2025, door supervisors and security guards have been required to undertake refresher training to renew their licence.

3. Teacher/tutor

The UK population’s thirst for knowledge remains strong, indicated by a 23 per cent rise in the number of tutor and teaching businesses between 2024 and 2025.

Whether it’s tutoring for GCSEs or A Levels or teaching English as a foreign language, there’s a variety of routes prospective teachers can go down.

Read our guide to becoming a tutor for tips on qualifications you might need and how to set your rates.

Did you know? Nearly a third of secondary school students in England and Wales have received private tuition.

4. Home baker

Home baking businesses really took off during the Covid-19 pandemic, but our data shows they’re still going strong. The number of new home baking businesses increased by 23 per cent between 2024 and 2025, showing it remains a popular business choice.

Many home bakery businesses start as side hustles before going full-time, so this is the perfect business idea if you’re a talented baker with another job. Our research found that bakery businesses have grown by 34 per cent over the last five years, and identified Birmingham as the UK’s bakery hotspot.

Did you know? British regional bakes such as Welsh cakes, Yorkshire parkin and Cornish pasties are tipped to make a comeback in 2026.

5. Hairdresser

There are plenty of options when it comes to being a hairdresser – you could rent a chair in a salon, work as a mobile hairdresser, or open your own salon.

Whatever route you chose, being a self-employed hairdresser gives you the opportunity to build a personal brand and a flexible career.

Read our guide on becoming a hairdresser for an overview of the options available to budding stylists.

Did you know? HMRC issued guidance in 2025 on how to work out if you’re employed or self-employed for tax purposes. It can be confusing, particularly if you’re renting a chair in a salon.

6. Photographer

If you’re a creative with a keen eye for detail who likes to get out and about, photography could be the perfect industry for you.

And you’ll be pleased to know that photography is a fast-growing trade, showing an uplift of 19 per cent between 2024 and 2025.

Whatever your interests, there’s a niche for professional photography. Some of the most popular include weddings, portraits, and product photography.

Read our tips on how to become a freelance photographer.

Did you know? 87 per cent of creatives reported using AI in their creative workflows, with more than 40 per cent using it daily.

7. Property managing agent

Property managing agents look after properties for the nation’s three million private landlords, as well as holiday home owners.

A good agent can save time and stress for property owners and it’s an ideal role if you like dealing with people on a daily basis.

Demand for property managers of rental properties could be more sought-after than ever in 2026, as the government makes the biggest changes to tenancy law in a generation under the Renters’ Rights Act.

This may have been reflected by 14 per cent growth in new property management businesses between 2024 and 2025.

Did you know? Over half (52 per cent) of agents plan to adopt AI tools for listings, lead generation, and marketing in the next 12 months.

8. Crafter

Whether it’s online or through market stalls, selling handmade crafts was our eighth fastest growing business – with insurance policies rising by 13 per cent in 2025. Crafting covers a wide range of talents, so whatever you’re good at, there’s opportunity to start a business.

Leah is the owner of a small craft business, Ethereal Jewellery, and she says: “I started my business with less than £20. I was buying necklaces and bracelets from charity shops and then repurposing them into new earrings. I had so little money, my friends and family were donating their old jewellery to me.”

Learn more about how to sell your handmade crafts in our guide.

Did you know? Buyers of craft goods in 2026 are being tipped to prioritise personality over perfection by seeking out products with visible mending and hand-sewn details.

9. Electrician

There’s always demand for good electricians, shown by a healthy growth of 11 per cent between 2024 and 2025.

And if you start an electrician business in 2026, you could benefit from high earning potential. Electricians recorded an average turnover of £74,448 in 2024, according to Simply Business research. This puts electricians in the top eight highest earning trades.

Read our guide on how to become a self-employed electrician to get started.

Did you know? The electrical trade is facing a huge skills shortage with 227 job vacancies for every one qualifying apprentice.

Opening a business checklist

Remember, you need more than a basic idea to open a business. If you’ve found the perfect business idea but need a little more help getting started, here’s what you need to know:

make sure there’s a gap in the market – this can make sure your business stands out from the rest
choose the right business name – make sure you buy the domain name and claim your social channels before anyone else can
write a business plan – this can help you set realistic goals, understand market trends, analyse competitors, and even get funding
find funding opportunities – check out whether you’re eligible for any grants or loans to kick-start your business
register as self-employed – you’ll need to register for Self Assessment and then file your tax return and pay your bill to HMRC every year

Don’t forget business insurance

Even the smallest businesses have risks involved, which is why it’s important to consider business insurance – public liability and product liability are the first ones to think about. And if you hire employees then you’ll also need employer’s liability insurance as a legal requirement.

Carers and security guards are the fastest growing trades in the UK for 2026, but previous years we’ve seen food stalls, virtual assistants, and landscape gardeners all surge in popularity. So it’s important to keep an eye on trends to see what might be in demand in your area.

There’s lots to consider before starting a business, and growing numbers of similar businesses is just one factor that can indicate an idea is viable. It’s also important to consider how much it’ll cost to get started, as some industries have more rules and regulations or you might need a premises – all of which adds to the startup costs.

So whether you’re looking to scale up your hobby into a side hustle or are thinking of going all in with a business idea, it’s vital to spend time at the beginning thinking about how you’ll make it a success.

Methodology: Simply Business analysed policies that were trading less than a year in 2024 and 2025 to find the fastest growing sectors.

More guides and resources for starting a business

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