How to Start a Call Centre Business in the UK: Step-by-Step

With more businesses outsourcing customer support, lead generation, and appointment booking, the demand for reliable call-handling services is rising fast.

Whether you want a fully staffed office or a lean home-based setup, starting a call centre business in the UK is a smart way to build a flexible, profitable venture.

If you’re wondering how to start a call centre business in the UK, this step-by-step guide has you covered.

From understanding the market and setting up your company to managing finances, finding clients, and staying compliant, we’ll walk you through everything you need to launch confidently and successfully.

Key takeaways

• The UK call centre market is growing fast
  The outsourcing industry is projected to grow to nearly $8 billion by 2030. Businesses increasingly rely on external call centres to deliver professional, efficient customer support.
• Opportunities span multiple industries
  Small and medium-sized enterprises, startups, e-commerce retailers, trades, and agencies all need reliable call-handling services. Focusing on these niches gives new call centres a strong client base to target from day one.
• Compliance is essential
  Proper insurance and registrations protect your business and reassure clients that their data is handled professionally.
• Cost management drives profitability
  Startup costs vary for home setups and office-based call centres. Profit margins of 20%–50% are achievable with careful staffing, software choices, and pricing strategies.
• Streamline operations to scale quickly
  Using modern tools for accounting, invoicing, VAT, and record-keeping not only keeps you compliant but saves you time. ANNA makes it easy to register your business, manage finances, and automate admin tasks, giving you more time to focus on winning clients and growing your call centre.

Why start a call centre business now?

The UK call centre and customer contact industry remains a vital part of the business service landscape, with growth rooted in both traditional customer support and modern digital engagement.

Across sectors such as e-commerce, fintech, healthcare, real estate, and professional services, companies increasingly rely on external partners to deliver consistent, professional communications and support.

Outsourcing these tasks helps businesses cut costs, access specialised skills, and keep up with rising customer expectations.

Here’s the state of the call centre market right now:

• The UK outsourcing market is projected to grow from approximately $5.7 billion in 2024 to nearly $7.8 billion by 2030, driven by demand for voice and chat support services.
• The adoption of remote and hybrid working models is now pervasive, with many UK contact centres letting agents work from home or in flexible arrangements – a trend accelerated by cloud-based communications technology.
• Modern customers want seamless experiences across phone calls, live chat, email, and messaging platforms. Cloud telecom and omnichannel platforms are becoming the standard because they enable businesses to handle these interactions from a unified system.
• Artificial intelligence (AI) and automation tools are rapidly being incorporated to speed up responses, support agents, and manage after-hours customer engagement. Markets for AI solutions in contact centres are forecast to expand significantly in the coming years.

All these trends point to one clear reality: businesses across the UK need faster, more flexible, and more reliable customer communication than ever before.

Where do you step in?

A UK call centre business can support a broad spectrum of industries. The following groups present some of the strongest opportunities:

• Startups and fast-growth companies looking for lead generation, sales outreach, and scalable call handling as they expand
• Small and medium-sized enterprises (SMEs) that need reliable customer support but don’t have the budget or capacity to build an in-house team
• E-commerce businesses managing high volumes of returns, delivery queries, and customer complaints, especially during peak shopping seasons
• Trades and local service providers, such as plumbers, electricians, cleaners, and clinics, who depend on appointment booking and rapid responses to secure business
• Estate agents, property managers, and recruitment agencies that handle large pipelines of leads and require consistent follow-up to maximise conversions

By offering a professional service people can trust, your call centre can fill the existing gaps and become an essential partner in their day-to-day operations.

How to start a call centre business in the UK: A step-by-step guide

If you’re ready to turn your call-handling skills into a thriving business, it’s time to break down everything step-by-step, starting with the legal aspect.

Step 1: Register your business

A call centre business provides professional services, handles client data, and usually creates contracts with other companies, so you should register a business before trading or signing client agreements.

Setting up the right structure from the beginning helps with tax planning, liability protection, scaling, and credibility in front of prospective clients.

These are your main options:

Tip: You can register your company quickly with ANNA and open your business account in one straightforward process, with no complicated paperwork.

Step 2: Ensure business compliance

The good news is that you don’t need any special licences to start a call centre business in the UK. However, because you’ll be handling customer information and communicating on behalf of clients, you must follow a few important legal and safety requirements:

Key legal requirements

• General Data Protection Regulation (GDPR) & the UK Data Protection Act: These laws set the rules for how you collect, store, and use personal information such as names, phone numbers, email addresses, or call recordings. You must keep data secure and use it only for legitimate purposes.
• Information Commissioner’s Office (ICO) Registration: If you handle personal data, you must register with the ICO. This is a legal requirement and usually costs only a small annual fee.

What about insurance?

Even though running a call centre doesn’t require specialist licences, having the right insurance is essential. It protects your business financially and boosts your credibility.

Here are the main types of insurance you should know about:

Industry-specific rules

Call centres must follow certain communication and privacy rules:

• Call recording regulations: If you record calls, you must inform callers that you’re doing so at the start of every conversation. You must also store recordings securely and only keep them for a defined, legitimate business purpose.
• Privacy and Electronic Communications Regulations (PECR): These rules cover marketing calls, cold calls, emails, texts, and other types of electronic marketing. For example, you cannot call customers who have opted out of promotional communication.
• Extra rules for sensitive industries: If you work with healthcare providers, financial services, or legal firms, you may need stronger data protection measures. These industries often require additional confidentiality and security processes.

Getting your legal foundation right from day one protects your business, your clients, and your reputation.

Step 3: Calculate your costs

Starting a call centre business in the UK requires some upfront investment, but the costs vary greatly depending on whether you run it from home or a dedicated office.

Initial costs

Home-based setups are usually cheaper, while small office-based call centres will require a more significant investment in equipment and space. Here’s what you can expect:

This brings us to an estimated total of just £500–£2,000 if you’re running your business from home, and around £5,000–£20,000 for a small office.

Ongoing costs

Once your call centre is running, you’ll have regular monthly expenses that are essential to keeping the business operational. Take a look at some key costs at a glance:

The total monthly running costs can range from £1,550 to £4,850, depending on the number of agents, office setup, and software subscriptions. Calculating these costs will help you set pricing and forecast your cash flow accurately.

Pricing strategy

Call centre services can be charged in several different ways. Here are the most common pricing models:

Choosing the right pricing model depends on your service offering and client needs. For example, ongoing customer support often works well with hourly rates, while one-off campaigns or lead-generation projects may suit a fixed-fee arrangement.

With careful cost management, including efficient staffing, smart software choices, and controlled overheads, call centres can typically achieve profit margins of 20–50%. Monitoring your costs and adjusting pricing as your business grows will help ensure sustainable profitability while remaining competitive.

Step 4: Get your first clients

Finding your first clients is one of the most important steps in launching a successful business, and a call centre is no exception. The good news is that many UK businesses actively look for affordable, reliable customer support – you just need to get in front of them.

Start by focusing on businesses that struggle with call volume or customer response times, regardless of their industry. The goal is to build momentum and gather testimonials.

Effective ways to win your first few clients include:

• Reaching out to local businesses with a simple introductory offer
• Networking with startups, estate agents, trades, and service providers
• Joining UK business Facebook groups and LinkedIn communities
• Offering a free one-week trial to demonstrate your value
• Contacting e-commerce stores that may need help with returns and order queries

Marketing tips

You don’t need a huge marketing budget, but what you do need is smart positioning. Start with these practical steps:

• Optimise your Google Business Profile to appear when local businesses search for call handling or customer support
• Build a simple SEO-friendly website explaining your services
• Run affordable Google Ads targeting keywords such as ‘call answering service’ or ‘virtual receptionist UK’
• Post behind-the-scenes content, tips, or case studies on Instagram and TikTok
• Offer referral rewards to any existing clients who send new business your way

These efforts help establish your brand, increase visibility, and attract businesses that need reliable support.

Step 5: Stay compliant

Staying on top of your tax and compliance duties is crucial from the moment you begin trading. Your responsibilities will vary depending on whether you operate as a sole trader or a limited company, but maintaining accurate records and meeting your deadlines ensures your business is protected.

These are the key obligations you should take care of:

• Sole traders: You must file a Self Assessment tax return each year (with rule changes coming later in 2026). You’ll pay Income Tax and National Insurance based on your business profits, so accurate record-keeping is key.
• Limited companies (LTD): Your company will pay Corporation Tax on its profits. If you pay yourself a salary, it must run through PAYE, and any dividends you take will be taxed separately.
• VAT registration: You must register for VAT once your turnover exceeds the £90,000 threshold in a rolling 12-month period. After registering, you’ll need to charge VAT on invoices and include it in your bookkeeping.
• Record-keeping: Store organised invoices, receipts, and expenses, and keep them for the required period. Using an accounting software such as ANNA makes this much easier, especially as your workload increases and you begin hiring staff or contractors.

Keeping clean, consistent records throughout the year makes these processes smoother, protects your business from penalties, and ensures your finances are always up to date.

Ready to start? Launch with ANNA

Starting your call centre business doesn’t have to be complicated. With ANNA, you can set up your company, manage finances, and stay compliant from day one, all while focusing on finding clients and delivering outstanding service.

Here’s how ANNA can help:

• Register your business instantly – Set up your limited company in minutes
• Open a business account – Keep personal and business finances separate to simplify bookkeeping
• File Self Assessment & stay MTD-ready – Prepare and submit Self Assessment returns with HMRC-compliant digital records
• Automate invoicing – Create and send professional invoices instantly and track payments automatically
• Track expenses & receipts – Snap, upload, and categorise receipts to stay organised
• Manage VAT effortlessly – Calculate VAT, monitor thresholds, and simplify filing.
• Connect accounting tools – Sync with Xero, QuickBooks, or other software to streamline bookkeeping
• Enjoy 24/7 professional support – Get guidance whenever you need it, from account setup to tax questions

With ANNA, you’ll have everything you need to launch your call centre confidently, leaving you free to focus on delivering excellent service and scaling your business.