Becoming a sole trader is simpler than it sounds.
Sole trader is just the official name for working for yourself. No company, no directors, no jargon: you, doing the care work you already do, paid in your own name. More than three million people in the UK work this way, and registering takes about ten minutes.
What changes, and what doesn't.
What changes
- You set your hourly rate, instead of accepting a wage
- Clients pay you directly, in your own name
- You choose your clients, your hours and your area
- You do one tax return a year (Self Assessment)
- You arrange your own insurance, about £120 a year
What stays the same
- The work itself: the visits, the people, the care
- Your DBS check. It belongs to you, not an agency
- Your qualifications, training and experience
- Your right to go back to employment whenever you like
- Being paid reliably, if your invoicing is handled properly
Every carer asks these. Fair enough.
“It sounds complicated.”
Registering as a sole trader is one free online form on the HMRC website. It takes about ten minutes and you don't need an accountant, a solicitor or a company. You get a reference number (your UTR) in the post, and that's it. You're in business.
“The tax will be a nightmare.”
You do one Self Assessment a year, declaring what you earned and what your business costs were. Your mileage, insurance, training and phone are all deductible. Most self-employed carers hand a tidy record to an accountant for around £300 a year, and Selotape keeps that record tidy for you.
“I'll lose sick pay and holiday pay.”
This one is true, so plan for it rather than fear it. At a typical self-employed rate of £25 an hour against an agency wage of £13, you can take six unpaid weeks off a year and still take home thousands more. You price your time off into your rate, like every other business does.
“What if it doesn't work out?”
Nothing about being a sole trader locks you in. There is no company to wind up and nothing to resign from. If you want to go back to employed work, you just stop trading and tell HMRC. Your DBS, your references and your experience all come with you.
Employed on Friday, self-employed on Monday.
Register with HMRC
One free online form. You'll get your UTR (your tax reference) by post within a couple of weeks. You can start working before it arrives.
Free, about 10 minutes
Get public liability insurance
Protects you if something goes wrong on a visit. Specialist carer policies are widely available and cost about £10 a month.
About £120 a year
Keep your DBS current
If you have an enhanced DBS, join the update service so it stays valid and portable. If yours has lapsed, a new check is straightforward.
About £50 a year
Set your rate
Self-employed carers typically charge £22 to £28 an hour. Remember what families currently pay agencies: £26 to £38. You are not the expensive option.
£25/hr is typical
Keep records from day one
Every visit, invoice, payment and mile. This is the part that sinks people who do it with a shoebox of receipts, and the part Selotape does for you.
Selotape handles this
You already do the hard part every day.
The caring is the skill. The paperwork is just admin, and admin is what Selotape is for. Register your interest and we'll walk you through every step when we open in your area.
General guidance for UK carers, 2026. Not tax or legal advice.