The survey conducted by YouGov on behalf of Kensington showed that there are currently five million self-employed workers in the UK, 1.2 million of which have begun working for themselves since the recession started in March 2008.
The poll of 2000 people found that 12%, some 600,000 people, started their own business less than a year ago, with a further 600,000 becoming self-employed between one and two years ago.
Charles Morley, head of sales and product development at Kensington, said: “This research supports the anecdotal evidence that the number of self-employed workers increases during a recession when businesses reduce the number of their permanent staff.
“Many of these people now enjoy very successful businesses of their own, but because of the way some lenders process applications, they would find it very difficult to secure a mortgage.”
Jock Cassidy, director at Ashley Law, claimed that the FSA’s current tough stance on self-cert mortgages makes the situation hard for those who work for themselves: “It is essential to improve the availability of mortgages to the self-employed, but it is difficult to know what can be done.
“The newly self-employed now have even greater difficulty getting a mortgage. I do sympathise with lenders. If people who are made redundant seek self-employment as an alternative, there is a risk that some will be ill-equipped for success. Apart from borrowers saving up large deposits, it is hard to see a solution to the problem.”
Yet, Paul White, consultant at London-based IFA, Belgravia, added that there were still some options for the self-employed: “Kensington is still lending to people with just one year’s accounts, so it is business as usual there. As always, the finance is there, it is just whether the client is prepared to accept the cost.”
