1 in 7 UK workers are now self employed

I think a bit of both. And that in many areas, traditional work is so unstable that the whole 'little security' argument against being self-employed doesn't really hold water any more.

I think some - like VAs - has a lot to do with the ease of mobile working. However, it's always boggled me the cavalier way the govt seem to assume that any can just become self-employed as a response to being unemployed without any business knowledge!

And I wonder how many people are mixing self-employment with part-time work too.

I think much of it has to do with the benefit cuts and people being forced into doing something with their lives / time. If they have been out of work some time / years then they are going to have great difficulty getting back into mainstream employment with many knockbacks at interviews and that's if they manage to get an interview.
You now also have the 40 - 50 year olds who in recent years have been made redundant who are going to find it difficult to find employment either through age discrimination or their reluctance to take a job at a lower level than what their use too, so many of these will also turn to being self employed. What I have also noticed is that many businesses are now only using people on a sub-contract basis or on zero hour contracts. Well someone on a zero hour contract may only be required for 1 x 8 hour shift in any given week, so it takes them of the unemployment register but they are hardly in employment either.
My concern is what many people who will have to work into their 70s will end up doing, they can't all end up working for B&Q. I myself work in the building / construction industry, I don't know anyone in this field of work who will be capable of working in this industry in their 70s, most will be past their sell by dates and most will have tired and worn out bodies.

I agree with the post above. Also, it might be the case that the taxes are now lower and people feel somewhat encourages to start the new ventures.

The thing is, many people see the good news on TV/Newspapers etc. and start to believe that the economy is really recovering and they are not afraid to run a business and end up with nothing.

All in all, though, the change in the society is also the case. Many youngsters think they would be better off without the boss and they want something more out of your live than just a stability of full-time employment.

The job market is quite flexible now, a few decades ago, having left the school you knew what you'd be doing for the rest of your live. Now, it's not so certain.

Who wouldn't want to be self employed? Yes it's stressful but it's also a lot more free-ing, empowering and nice being your own boss. Plus you get to keep all the money you make (apart from tax thumbsdown) and charge what you like.

As long as you are making the revenue to provide you with a feeling of empowerment.

It can also be bewildering and terrifying for a lot of people who haven't really considered the harsh realities, such as missing skill sets, lack of understanding of the rules of business, and a lack of cash to buy the right skills in, or outsource them.

If you get it right, then there's nothing more rewarding than being your own boss, but it can be a long rocky road to get there. I remember being told once by an accountant the difference between a successful business and a business failure was having enough money to carry you through all your early mistakes and learning from them.

I laughed at the time thinking you old fool. How right he was... Mind you the same bloke also said you're not a proper company until you've been sued a few times... I laughed at that as well <gulp>

Very true. I've seen a number of businesses fold recently, not because the underlying business plan and service was poor, but because they just didn't have enough capital or credit to ride out the initial loss making period.

Don't forget all the perks you get as an employee too - paid holiday, sickness, training, pension, having your employer make NI conts, even not having to buy the office furniture! A self-employed person on the 'same' take home pay as an employee is actually getting a lot less in benefits.

That is a great news. It means people are starting their own business or doing freelance. It will really jump the economy.