Craft Stall Income Tax Query

I am retired from work with a work pension (greater than £12.5k pa) - I am under state pension age. I have been selling items at a few local craft fairs and am now conscious maybe I should be looking at what I should be doing re tax etc. I need to weigh up whether its worth me continuing to do what effectively started as a hobby.
I have started to read up but am confused - I think I need to register as a sole trader and register for self-assessment. However, if I do this I'm assuming any profit I make will be taxed at 20% as my pension is above £12.5k. Also, if I'm registered as a sole trader do I also have to pay National Insurance?
To be honest if I am right - for a hobby this is becoming a lot of hassle. Any advice of reference points will be gratefully received.


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