RESEARCH REVEALS THE SACRIFICES MADE BY SME LEADERS

Posted on 15th February 2026

New research commissioned by Employment Hero, surveying 1,047 UK business leaders, reveals that running a business is truly a labour of love. Despite significant personal sacrifices, 85% of SME leaders say that if given the chance to turn back the clock, they would do it all over again.

The findings highlight the personal cost of entrepreneurship. Almost all SME leaders (94%) say they have made sacrifices because of their business. Two in three (67%) report sacrificing time for themselves, while over half (55%) say they have sacrificed time with their partner.

Yet despite these pressures, business ownership remains deeply meaningful. When asked how running a business makes them feel, SME leaders most commonly cited purpose, fulfilment and pride.

The research follows a challenging period for SMEs, marked by the impact of measures introduced in the 2024 Autumn Budget. Throughout 2025, higher National Insurance Contributions and new employment law changes weighed on business confidence and hiring decisions.

This is reflected in the national employment picture. Latest ONS figures, which largely reflect the trends of large businesses, show payrolled employees fell by 184,000 (0.6%) year-on-year by December 2025, while unemployment rose to 5.1%, the highest level since 2021.

However, Employment Hero’s SME labour market data tells a different story. Analysis of real-time employment data from 117,000 employee records shows SME hiring increased by 2.5% year-on-year by the end of 2025. The data also highlights the impact of policy uncertainty: month-on-month employment growth fell to 0.8% in December 2024 following the announcement of NIC increases and to -1.1% in April 2025 when the changes came into effect. Despite this volatility, British small businesses have continued to take risks and provide employment opportunities.

For more information visit employmenthero.com