The internet will tell you that a limited company is more tax efficient. Sometimes that is true. Often it is true only at certain profit levels, and only if you are comfortable with the extra admin that comes with it.
As a sole trader, you and the business are the same legal person. Profits are taxed through Self Assessment, the paperwork is light, and losses in early years can sometimes be set against other income.
A limited company is a separate legal entity. It pays corporation tax on its profits, and you extract money as a mix of salary and dividends. There is meaningful planning available there, but there are also statutory accounts, a confirmation statement, director responsibilities and a public record of your filings.
The decision usually turns on four things: your profit level, how much you need to draw personally, whether limited liability matters for your type of work, and how much administration you are willing to absorb.
We work it through as a side-by-side comparison on your actual numbers, including the cost of the extra compliance. Sometimes the answer is incorporate now. Sometimes it is stay as you are and revisit in eighteen months. Both are legitimate answers.