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Key Legal Considerations When Setting Up a Gym in the UK

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In Short

  • Licensing and Registration: Register your gym with Companies House and obtain any necessary licences, such as for public performance if playing music.

  • Health and Safety Compliance: Adhere to the Health and Safety at Work Act 1974 by conducting risk assessments, implementing safety measures, and maintaining public liability insurance.

  • Data Protection and Employment Laws: Comply with GDPR for member data and ensure staff contracts meet UK employment law standards.

Tips for Businesses

Before opening, ensure all equipment is regularly maintained and staff are trained in safety protocols. Clearly outline membership terms, including fees and cancellation policies. Consult with legal professionals to draft enforceable contracts and safeguard your gym’s intellectual property.

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Table of Contents

Setting up a gym in the United Kingdom is an exciting endeavour that can be financially rewarding and personally fulfilling. First, however, it is essential to understand the legal landscape to ensure you comply with regulations and protect your business interests. This article provides a comprehensive overview of the key legal considerations in establishing a gym in the UK, covering licencing, health and safety regulations, employment laws, data protection and contractual agreements.

1. Licencing 

When starting a gym in the UK, you must obtain the necessary licences to operate legally. First and foremost, you will need to register your gym as a business entity with Companies House.  

Additionally, depending on your services, you may require specific licences. For example, if you plan on playing recorded music, you will need a licence for public performance. Further, if your gym offers classes or training sessions led by qualified instructors, ensure they have the required certifications and licences for their respective disciplines.

Make sure you understand the licencing and legal requirements for your gym’s operations and comply with them to avoid potential legal issues.

2. Health and Safety Regulations

Health and safety regulations are crucial in the fitness industry to protect staff and customers. Familiarise yourself with the Health and Safety at Work Act 1974, which establishes a legal framework for ensuring a safe and healthy working environment. 

To mitigate potential risks, such as injury during fitness classes, you should:

  • conduct risk assessments;
  • implement necessary safety measures; and 
  • maintain appropriate public liability insurance coverage.

It is good practice to carry out regular maintenance and inspection of equipment, proper training for staff on safety protocols, and provide clear instructions for gym users on safe equipment use.

Regularly review and update your health and safety policies and procedures to reflect industry best practices and legislative changes.

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3. Employment Law

As an employer, you must adhere to UK employment law when hiring staff and personal trainers for your gym. So ensure you know your UK employment rights, including the:

  • Equality Act 2010;
  • National Minimum Wage Act 1998; and 
  • the Working Time Regulations.

Comply with anti-discrimination laws, establish fair employment contracts, and provide appropriate training and development opportunities while ensuring they have the qualifications and certifications for their roles and personal training positions.

Many UK gym owners obtain legal advice to ensure compliance with all relevant employment legislation. 

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4. Data Protection 

When processing a gym membership, your gym will collect and process its members’ personal data, including contact information, health details, and payment data. It is, therefore, essential to comply with the General Data Protection Regulation (GDPR) and the Data Protection Act 2018.

Implement robust data protection policies and procedures to safeguard personal data. This may include: 

  • obtaining informed consent from individuals;
  • securely storing data;
  • using encryption for sensitive information; and 
  • regularly reviewing your data handling practices to ensure compliance.  

It is crucial to have measures to prevent data breaches and unauthorised access to personal data.

Some fitness centres also appoint a Data Protection Officer (DPO) to ensure the safe collection and processing of personal data and avoid unintentional GDPR violations.

5. Contractual Agreements

You will enter into various contractual agreements with third parties when establishing a gym, including: 

  • lease or rental agreements for your premises and gym equipment; 
  • contracts with suppliers; and 
  • membership agreements with customers.

It is crucial to draft and review contracts carefully to protect your interests and clearly outline the rights and responsibilities of each party involved. Seek legal advice to ensure your contracts are legally sound, enforceable, and adequately protect your gym group’s rights.

For example, when creating membership agreements, clearly outline the terms and conditions, including membership fees, cancellation policies, liability waivers, and any additional rules or regulations that members must abide by. This helps establish a transparent and fair relationship between your gym business and its members, minimising the risk of disputes or legal issues.

6. Intellectual Property

Consider protecting your gym’s Intellectual Property (IP), such as logos, slogans, and unique workout routines. You can do this by registering for trademarks or copyrights.

This step can safeguard your brand identity and prevent others from misusing or copying your gym’s intellectual assets. Consult an IP lawyer to understand your options and secure the appropriate protections.

Additionally, be cautious about using copyrighted materials, such as music or workout videos, in your gym without proper licencing or permission. Familiarise yourself with copyright laws and ensure you have the right to use copyrighted materials legally.

Key Statistics on UK Gym Startups

  • 11.5 million: The UK health and fitness market has reached a major milestone, with new data revealing total market revenue has climbed to more than £5.7 billion, an 8.8% increase from 2023.

  • 16.9% penetration: The UK health and fitness market has experienced significant growth, with gym membership penetration reaching 16.9% and annual revenue surpassing £5.7 billion, according to the inaugural UK Health & Fitness Market Report published by ukactive in collaboration with 4GLOBAL, Sport England, and Deloitte.

Sources:

  1. UK Health & Fitness Market Report 2025, ukactive, April 2025.

Key Takeaways

Setting up a gym in the UK requires careful consideration of various legal aspects to ensure compliance and protect your business interests. By familiarising yourself with licensing requirements, health and safety regulations, employment law, data protection obligations, and contractual agreements, you can establish a solid legal foundation for your gym.

It is important to note that legal compliance is an ongoing process, and staying informed about any changes in the legal landscape is crucial. In the face of these legal considerations, many UK gym owners utilise professional legal advice to ensure full legal compliance and best practice.

If you need legal assistance setting up a gym in the UK, our experienced business structuring lawyers can assist as part of our LegalVision membership. For a low monthly fee, you will have unlimited access to lawyers to answer your questions and draft and review your documents. Call us today on 0808 196 8584 or visit our membership page

Frequently Asked Questions

How concerned should new gyms be about personal injury claims?

A high level of personal injury claims outside a workplace occur within gyms and sporting venues, so having the correct paperwork, policies and insurance in place is vital.

Is it mandatory for a new gym business to have a business plan?

While a new gym business doesn’t need a business plan, it is a valuable document to set out key goals and attract the necessary funding.

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Thomas Sutherland

Thomas Sutherland

Thomas is an Expert Legal Contributor for LegalVision. He is a qualified lawyer with an interest in employment law. Thomas has written extensively for LegalVision on all commercial law topics, including commercial contracts, business structuring, e-commerce, data, privacy, and IT, as well as corporate law.

Qualifications:  Bachelor of Laws – LLB, University of Southampton; Legal Practice Course (LPC), College of Law, Manchester; Professional Skills Course (PSC), University of Law, Manchester.

Read all articles by Thomas

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