Starting a business is becoming a common goal, with nearly half of people expecting to launch one in the next year. It may seem surprising, but we are witnessing a major cultural shift.

Research from Enterprise Nation shows that this trend in the UK is largely driven by Gen Z and millennials. About 62% of people aged 18 to 30 and 51% of those aged 31 to 40 are considering starting a business within the next 12 months.

The annual Start-Up Ambition Report, which has tracked the nation’s interest in entrepreneurship for three years, found that the main reasons for this trend are earning extra income to manage rising costs and turning a hobby or skill into a source of money. Both reasons were cited by 33% of respondents.

Since the report began, the number of people wanting to start a business has gradually increased, but this year saw the biggest jump. In 2023, 30% of people were interested in starting a business, rising to 35% in 2024.

This shows that younger generations are approaching work differently and view entrepreneurship as a viable career path. With the expectation of working until they are 70, they want to build careers that they enjoy and that provide financial stability.

In fact, 36% of 18-to-24-year-olds said they were motivated by the idea of doing something they love while earning money. They know they will spend many years working, so they want to make it enjoyable. Unlike older generations, they are less discouraged by economic or political uncertainty. They see fewer barriers to starting something new and are willing to take risks.

Consider Daniella Conway, a 29-year-old finance associate in London. She is preparing to launch TRVLR, a web app, in January after a year of development. She secured angel investment, completed a six-month accelerator program, and balanced it all with a full-time job in an investment firm.

Daniella created TRVLR, a platform for planning and booking group trips, because she needed a similar service but couldn’t find one. With investment funding, she hired a development agency, integrated artificial intelligence into the app, and brought on a part-time social media freelancer to generate excitement before launch. So far, TRVLR has attracted 1,000 people to its waitlist.

Another example is Vanessa Anderson, 32, who developed a digital tool to track her favorite street food vendors near her home in Northamptonshire. She soft-launched her app, Indi Local, in March last year.

As a commercial director at a software firm in Milton Keynes, Vanessa built Indi Local as a side project. The app tracks local food trucks and promotes community events. She enlisted the help of colleagues at Business Net Solutions, using Google Maps and simple APIs to create an interactive map.

Before launching, Vanessa focused on building an audience. She created an Instagram account to establish Indi Local as a key food influencer in the area. The app allows users to access data on food truck locations anytime, and the goal is to introduce a subscription model where vendors and event organizers pay to upload their schedules.

Investment from the Milton Keynes Investment Group and funding from the UK Shared Prosperity Fund helped cover tech development costs and allowed Vanessa to hire a part-time social media employee to create content for Indi Local’s Instagram page (@indi.local).

A major factor driving this start-up trend is a decade of stagnant wages. People want to increase their income while doing something they enjoy. Technology and better business support also make it easier to start and grow a business.

While economic downturns often lead to more entrepreneurship due to job insecurity, the research found that only 6% of respondents wanted to start a business out of fear of losing their job. In fact, the number of people starting a business to supplement part-time wages or zero-hour contracts dropped from 33% in 2024 to 9% in 2025.

Women were more likely than men to start a business as a side hustle alongside a job or caregiving responsibilities, with 59% of women compared to 49% of men doing so. Millennials, particularly those aged 31 to 40, were the most likely to start a business alongside another job.

Economic concerns were common, but younger generations were the least worried. Only 31% of 18-to-24-year-olds saw the economy as a major challenge. Instead, their biggest concern was finding funding, and they were the most likely to seek business support. Meanwhile, people aged 51 to 64 were the most concerned about economic conditions but also the least aware of available support.

One thing is clear: the way people approach work is changing. Younger generations are taking control of their careers and income. To succeed, they need to seek out the right support to turn their business ideas into reality.