Do I need to pay tax on gig economy earnings under £1,000?

No. The Trading Allowance gives you £1,000 of tax-free self-employed income per year. If your total gig income from all platforms combined is £1,000 or less, you do not need to register for Self-Assessment or pay any tax on it.

How much National Insurance do gig workers pay?

Self-employed gig workers pay Class 2 NI at £3.45/week once profits exceed the Small Profits Threshold, and Class 4 NI at 6% on profits between £12,570 and £50,270. Above £50,270, the Class 4 rate drops to 2%.

Can I claim expenses as a gig economy worker?

Yes. You can deduct allowable business expenses from your gig income before tax is calculated. Common expenses include vehicle costs, phone bills (business portion), delivery bags, platform fees, packaging, and home office costs. You can choose between actual expenses or HMRC's simplified mileage rates.

Gig Economy Tax Guide: Deliveroo, Uber, Depop & More (2026/27)

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