In the past, Pokémon used the built-in memory on the card to save the game, but with Pokémon Sword and Shield it works differently, as it's stored directly on the Switch. If you want to start a new game, here's what you need to do:
- On the Switch home screen, go to System Settings, which is the Cog icon.
- Scroll down the System Settings menu screen to the Data Management tab.
- On the options on the right, scroll to the bottom, where you should find Delete Data.
- Find and select Pokémon Sword or Pokémon Shield from your games list, then select Delete Save Data for (Profile Name)
- A warning message will appear asking if you are sure you want to delete it and confirm once you are able to.
Be warned. As with previous games in the series, this is a permanent deletion, and all Pokémon in this save, regardless of their location (team or storage), will all be lost and unrecoverable. If you want to keep Pokémon from one save to another, you'll either need to transfer them to a friend for safety or consider using Pokémon Bank to store it, although the latter requires a subscription.
Also, if you've received a Mew from the Poké Ball Plus feature and placed it in the game, you won't be able to get another one. So please remove it with caution if you want to keep your Mew.
You can also play the game on a different profile from your Switch, as this will create a separate set of save data in your main profile. However, if you do not have an online Nintendo Account, you will not be able to use the online features of the game.