Entrepreneurs will be given greater freedom to start up a business from their home as part of new measures announced by the Westminster Government.

These include legislation to make it easier to run a company from a rented property and new guidance on business rates clarifying that, in most circumstances, home-based firms will be exempt. Planning guidance is also being updated to make it clear that planning permission should not normally be required to run a business from home.

Announcing the package, Business Minister Matthew Hancock said there had never been a better time to start a company. He said: "It's this spirit of personal endeavour and self-determination that is driving our economic recovery.

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"We'll give people the confidence they need to run a business from a rented home, making sure that the majority of home businesses are exempt from business rates and our aspiring entrepreneurs have the information they need to start up and grow."

The law is to be changed so that landlords can be assured that agreeing to a business start-up within their property will not undermine their residential tenancy agreement.

A new model tenancy agreement will also be made available.