Nigerians are very industrious people by nature. It’s not uncommon to see citizens of the country who have multiple streams of income. Even after immigration, many people run side businesses while holding down regular jobs. 

For Nigerians in the UK, the conversation of relying on a single income source or diverse income streams is key. In 2025, this debate matters more than ever.

With the rise in cost of living, budgets are getting squeezed tighter. Immigration rules are also shaping work opportunities, and with the present economic uncertainty in the UK, many Nigerians are beginning to rethink how they make money.

Knowing how to navigate to the best suitable approach for yourself could make a difference between financial success and struggle.

In this article, we’ll look into how Nigerians in the UK are making money through single-income sources and side hustles and how these approaches affect the UK financial landscape.

Nigerians in the UK: Demographics & economic reality.

As of 2021, the Office for National Statistics put the Nigerian population in the UK at around 270,000 people, which is approximately 0.5% of the population of England and Wales.

Nigerians predominantly settle in England, especially Greater London, and in notable communities in Birmingham, Manchester, and other major cities.

Nigerians in the UK are employed mostly in public services (such as healthcare), technology, finance, education, and entrepreneurial ventures.

Average incomes vary by profession, with the high cost of living in the UK, including housing costs, childcare expenses, and the financial burden of regular remittances sent back home, constituting a large part of financial pressures. 

Nigerians in the UK come into the country through various visa schemes. Some of these visas come with specific work restrictions and allowances that influence the possibility of earning additional income through side hustles.

Legally, many Nigerians can have side income hustles only within the terms of their visa, but must be aware of tax implications tied to multiple income streams.  

According to OhentPay’s 2025 UK-Nigeria Remittance Report, Nigerians in the UK with multiple streams of income tend to send more money back home. In fact, about 50% of multiple-income earners are able to send £500, while only 22% of single-income earners send £500 back home.

Nigerians generally have a strong entrepreneurial spirit, and this mindset drives many to have multiple income streams along with their primary jobs.

With their familial obligations and expectations, the need to make remittances back home fuels the need for Nigerians in the UK to feel the need to generate extra income. This impacts how Nigerians in the UK approach work, save, and invest.

The single-income source approach.

The single-income source approach involves focusing fully on one primary career or job, with the ambition of climbing the corporate ladder.

This approach requires continuous professional development through certifications, training, and experience within a specialised field.

Nigerians who adopt this approach dedicate their mental and physical energy to excelling in one domain rather than juggling multiple income streams.

This approach is great for professionals in sectors with high-paying and structured career paths, including:

• Healthcare professionals working within the NHS or private systems
• Tech professionals  
• Corporate workers and experts in firms  
• Legal professionals

Its advantages include: 

• Deep expertise and career progression while building mastery and advancing to senior roles.
• Higher earning potential in specialised fields.
• Better work-life balance as concentrating on one income source can reduce the time spent juggling multiple responsibilities.
• Access to pensions, health insurance, bonuses, and paid leave.
• Single income sources simplify financial and tax planning.

It also has the following disadvantages: 

• There might be income ceiling limitations since salaries have upper limits and may not increase with inflation or rising living costs.
• Relying on one source makes individuals vulnerable to layoffs or economic downturns.
• There will be no fallback in the case of any offset financial shocks.

The multiple income streams approach.

The multiple streams approach combines a primary full-time job with additional income sources such as side hustles, part-time ventures, investments, or passive income.

Many Nigerians in the UK use this method to boost their financial security and create wealth beyond what a single salary can provide.

This approach works for people who are willing and able to balance multiple commitments.

Some of its advantages are:

• Income diversification and security to reduce dependence on one job.
• Combined incomes can accelerate savings, wealth-building and investments.
• Some ventures, especially digital or online businesses, can scale rapidly.

Its disadvantages include:

• The risks of balancing multiple commitments, like overwork and burnout.
• Sustaining excellent performance across streams requires careful mental and physical health management, which may be difficult for new immigrants still trying to settle into the country.
• Managing income across different sources requires diligent bookkeeping and tax compliance.

Tax & legal considerations for Nigerians in the UK.

Nigerians who have a single source of income are taxed through the UK Pay As You Earn (PAYE) system, which offers a straightforward tax arrangement. Income tax is automatically deducted from wages based on your tax code and allowances.

Employer pension contributions, National Insurance, and other benefits are also managed through payroll. This reduces the complications of filing taxes for employees.​

On the other hand, when earning from multiple sources, income outside PAYE must be declared through self-assessment tax returns. This needs diligent record-keeping. For instance,

• National Insurance Contributions vary depending on the class of income (Class 2 for self-employed, Class 1 for employees).
• Allowable expenses related to side businesses can reduce taxable profits, but they must be properly documented.
• Businesses may need to register for VAT if turnover exceeds £85,000 per year.

Navigating the financial landscape as a Nigerian in the UK in 2025 involves always putting your best foot forward and going with the approach that best suits you and your needs, whether it’s the single-source approach or the multiple income streams approach. Each strategy has its own unique advantages and challenges.  

The key is making an intentional choice that aligns with your skills, lifestyle, financial obligations, and long-term goals. Assess your current situation and experiment wisely with new income ventures.

With knowledge, proactive planning and the Nigerian resilient spirit, you can evolve and adapt to meet your obligations.