Most multi-drop and courier driving jobs are self-employed roles. That means you work for yourself, get paid for the work you do, and look after your own tax. No employer takes tax out of your pay for you.
Before any of that, there is one job you must do first: tell HMRC that you are self-employed. The good news is that it is free, it is done online, and most people finish it in one sitting. This guide explains when you need to register, what you need to have ready, and what happens next, all in plain English.
What does “registering as self-employed” mean?
When you register as self-employed, you are telling HMRC (the government department that collects tax) that you now earn money by working for yourself. HMRC calls this being a sole trader.
You do this by registering for Self Assessment. This is the system self-employed people use to tell HMRC how much they earned each year, so the right amount of tax can be worked out. Once you are registered, you fill in one tax return a year.
Do I need to register?
You must register as a sole trader if you earn more than £1,000 from self-employed work in a tax year. A tax year runs from 6 April to 5 April the next year.
If you are driving for a delivery company most days of the week, you will go over £1,000 very quickly. So if you are starting self-employed courier work, the answer is almost always yes.
You might still need to register even if you also have a normal job. Lots of people work for an employer in the week and do delivery shifts at the weekend. The money from the employed job is taxed through your payslip, but the self-employed money is not, so HMRC needs to know about it.
When do I need to register by?
You must register by 5 October after the end of the tax year in which you started working for yourself. If you register late, HMRC could give you a penalty.
That sounds confusing, so here are some examples:
| If you start driving in… | Your first tax year is… | Register by… |
|---|---|---|
| May 2026 | 6 April 2026 to 5 April 2027 | 5 October 2027 |
| January 2027 | 6 April 2026 to 5 April 2027 | 5 October 2027 |
| 10 April 2027 | 6 April 2027 to 5 April 2028 | 5 October 2028 |
The deadline gives you plenty of time, but our advice is simple: register as soon as you start. It means you get your tax details early, you can set up your records straight away, and you will not be caught out by a deadline you forgot about.
What you need before you start
Having everything ready before you begin makes the whole thing much quicker. Here is what HMRC will ask for:
| What you need | Why it is needed |
|---|---|
| National Insurance number | HMRC uses this to find your records. You cannot register without one. |
| Full name and date of birth | To check who you are |
| Home address and postcode | So HMRC can post you important letters |
| Phone number and email address | So HMRC can contact you |
| The date you started working for yourself | To work out which tax year you started in |
| What kind of work you do | For example, “courier” or “parcel delivery driver” |
| Your business address | For most drivers, this is just your home address |
| A Government Gateway user ID | Your login for HMRC online services. You can make one during sign-up if you do not have one yet. |
How to register as self-employed: step by step
Here is how the process works from start to finish.
- Go to the official GOV.UK page. Use the GOV.UK guide to registering as a sole trader and click “Start now”. Only ever register through GOV.UK. You never need to pay anyone to do it for you.
- Sign in or create your Government Gateway account. If you are new, you will be asked to set up a user ID and password. Keep these safe, as you will need them every year.
- Prove who you are. HMRC may ask you to confirm your identity, for example using your passport, driving licence or payslips.
- Choose that you are self-employed (a sole trader). Answer the questions about your work and the date you started.
- Check your answers and send them. Make sure the start date and your address are correct before you submit.
- Wait for your UTR. HMRC will send you a letter with your Unique Taxpayer Reference. More on this below.
What happens after you register?
You get a UTR number
A UTR (Unique Taxpayer Reference) is a 10-digit number that belongs only to you. It usually arrives by post, so make sure your address is right. You need your UTR to fill in your tax return, and delivery companies may also ask for it when you start working with them.
Keep it somewhere safe, such as a photo on your phone or a note in your records. Never share it with anyone you do not trust.
You start keeping records
From your very first shift, you should keep a record of:
- Money coming in, such as your weekly or daily pay from each delivery company
- Money going out, such as fuel, van hire, insurance and your phone bill
- Your work miles, written down each day
This matters because you only pay tax on your profit. That is what you earn minus the costs of doing the job. Our guide to what expenses a self-employed driver can claim explains which costs count and which do not.
You fill in a tax return once a year
After each tax year ends, you fill in a Self Assessment tax return online. This tells HMRC what you earned and what you spent. HMRC then works out what you owe. If you are not sure of the dates, read our guide to when your tax return is due.
You pay your tax bill
Income Tax and National Insurance are paid through Self Assessment. The amount depends on your profit, not on everything you earn. To find out roughly what to expect, see our guide to how much tax a self-employed driver pays. It is also worth knowing when self-employed drivers pay tax, as some people pay twice a year rather than once.
What about Making Tax Digital?
You may have heard of Making Tax Digital. This is a newer HMRC system where some self-employed people use approved software to keep digital records and send HMRC updates every three months.
It only applies once your self-employed income goes over a certain amount:
- Over £50,000 a year: started from 6 April 2026
- Over £30,000 a year: starts from 6 April 2027
- Over £20,000 a year: starts from 6 April 2028
You do not need to worry about this on the day you register. HMRC looks at your tax returns and will write to you if you need to join. Even so, keeping your records on an app or spreadsheet from day one will make any future switch much easier.
Common mistakes to avoid
New drivers often make the same few mistakes. Here is how to steer clear of them:
- Leaving it too late. Missing the 5 October deadline can lead to a penalty. Register when you start.
- Thinking the delivery company pays your tax. If you are self-employed, it is your job, not theirs.
- Not saving for your tax bill. Put a little money aside every week so the bill is not a shock.
- Throwing away receipts. No receipt can mean no claim. Snap a photo of each one straight away.
- Using copycat websites. Some sites look official but charge you a fee. Registering through GOV.UK is always free.
Start your self-employed driving career
Registering as self-employed is a quick, one-off job that sets you up for everything that follows. Once it is done, you can focus on the work itself.
At Skilled Solutions, we connect drivers with trusted carriers like Amazon Logistics and DPD across Essex, Kent, London and West Sussex. Most roles do not need previous courier experience, and full training is provided. All you need is a full UK driving licence held for at least one year and the right to work in the UK. We support you from your first application right through to your first delivery, and we offer van rental assistance to help you get started without a big upfront cost.
Ready to get on the road? Browse our latest self-employed courier jobs and apply today.
This guide is for general information only and is not tax advice. Tax rules can change, so always check the latest HMRC guidance or speak to an accountant about your own situation.
