Home Bakers Warn New Council Fees Could Shut Down Cake Sheds

Small cake bakers who sell their products from “cake sheds” around parts of England could be forced to shut down due to new licensing laws and a clampdown on small businesses, some of which make only a handful of cakes each week.

The problem has arisen in two local authorities where councils sought to have cake sheds reclassified as street traders: Bassetlaw in Nottinghamshire and Maidstone in Kent. The home baking regulations were devised for market stalls and commercial street vendors but are now being applied to unmanned or lightly staffed home baked stalls from residential properties.

The switch has raised concerns from small-scale traders who say that the expenses involved with compliance aren’t worth the revenue they bring home. Many say their cake sheds provide not only an additional income stream, but also act as a place in the community where people gather.

License Costs Raise Concerns

Traders who do not have a street trading consent could be fined up to £1,000 in Bassetlaw. The council’s licensing fees are £521 ($705) for six months and £745 ($1,007) for a 12-month consent. Renewal costs are set at £648 ($875) annually or £449 ($606) for six months. The needs of small operators differ in Maidstone, but are equally crucial.

The cost of a street trading license is £285 ($385) and renewals are £227 ($307). Candidates will also need to have £10 million worth of public liability insurance and undergo a Disclosure and Barring Service check. Applying to the program can take up to 90 days.

Bakers Say Fees Could Make Businesses Unviable

Sarah Baker, a cake seller who opened a shop last September on Mote Avenue in Maidstone, said she had been applying food safety guidelines before she opened up, which involved getting insurance, hygiene and allergen certificates. The 55-year-old, who lives with her parents, earns $60 to $100 a week in business, she said.

“I was gutted really, because I thought I work hard, I’ve got a good little thing and then I could lose that money, that little bit of income,” Baker said.

In Bassetlaw, Natalie Brooks opened the Rhodesia Bake Box outside her home in Winifred Street but received notice about licensing requirements roughly a month later.

“The licensing is a big blow as I’ve only just got all set up,” Brooks said. “There was no warning of this at all. We were just told suddenly last Friday that we couldn’t trade.”

Mel Houston, a dementia carer from Harrietsham, said she closed her cake shed immediately after learning she might require a street trading license. Houston held a five-star food hygiene rating along with food safety and allergen awareness qualifications.

“It was a bit of a kick in the teeth,” Houston said. “I shut it down straight away. I was deflated more than anything and upset for the residents as it brought the community together.”

Councils Defend and Review Policies

Bassetlaw Council has defended its approach, arguing that cake sheds operate similarly to traditional street trading businesses.

A council spokesperson said the policy helps ensure “consistency, fairness and public protection” and allows authorities to manage safety, location and trading standards while maintaining a level playing field for businesses.

Maidstone Council has adopted a more cautious stance. A spokesperson acknowledged that the existing street trading framework was not designed specifically for small home-based enterprises and could appear disproportionate when applied to cake sheds.

The council said it is reviewing the issue ahead of a licensing committee meeting scheduled for June 11.

Different Approaches Across England

The debate has highlighted differing interpretations of the rules among local authorities.
In neighboring Swale, officials said they are not currently applying street trading regulations to residents selling homemade cakes through sheds or honesty-box systems.

“We don’t have a policy that specifically covers selling homemade cakes from ‘sheds’ and using honesty boxes, and we are not currently applying our street trading policy to this activity,” a council spokesperson said.

Legal Questions Remain

The UK’s Food Safety Act 1990 defines food business as any activity that involves selling food to the public, including in a home environment, and requires the food business to register with their local authority 28 days before they start. But street trading consent is another regulatory need.

The question of whether to apply such regulations to small scale cake sheds on private land is open and varies between councils with some imposing licensing costs and others is opting not to.

With local authorities looking at their policies, many home bakers are waiting to see how local street traders will be treated and if there are exemptions or alternative policy frameworks for smaller enterprises.