Union staff at their Edinburgh office on the day the employee ownership scheme was announced.
The transition sees ownership transferred to an Employee Ownership Trust (EOT), a growing model among values-led firms seeking to retain independence and protect culture. Edinburgh-based creative and marketing agency the Union Group has announced it is now employee-owned, following the establishment of an Employee Ownership Trust (EOT). The move secures the long-term independence of one of the UK’s top regional agencies, while rewarding the team that has driven its continued success.
The Union, founded in 1996, will now be owned by its employees through the newly created EOT. The agency group - which includes Union Direct, Union Digital, Union Data, and Union Connect - will operate under a new holding company, Agents of Change Ltd, with all 82 staff becoming beneficiaries of the Trust. It will continue to trade as ‘the Union group’.
Despite the change in ownership, it’s very much business as usual: the agency will continue to deliver award-winning work for clients including ScottishPower, Scottish Widows, VisitScotland and the Scottish Government, as well as dozens of other valued clients across the UK and internationally. Client relationships and teams remain unchanged, ensuring a seamless transition.
The Executive Directors of the operating company will comprise of Michael Hart, Heather Blair, Louise Killough, Emma Campbell and Daniel Batey. All are current Board Directors in Union group businesses. They will form the Executive Board of the Union group, managing all operations and the strategic direction of the agency.
The move marks a major generational handover at the Union. Last remaining Founder and Group Chair, Ian McAteer and Union Direct’s Managing Director, Gus Chalmers, will both step back from day-to-day roles, after more than two decades leading the agency’s success. Both will stay involved as trustees of the new EOT, ensuring continuity of values and oversight.
An independent Chair for the Trust Board has been recruited; Liz Gilchrist will join to lead the trust. Liz has a background in commercial banking with RBS and is now a consultant and leadership coach. The other trustees will be Louise Killough and Daniel Batey.
Ian McAteer, Chair and founder of the Union said: “We built the Union on the idea of, well, a ‘union’ - based on the principles of equality, respect and fairness. An EOT is therefore a natural next step. It rewards the people who have made the agency what it is, and protects our independence, creativity, and culture for the long term. I’m incredibly proud of what we’ve achieved over the last 30 years, but I am equally excited for what’s to come. Our clients and suppliers can rest assured it's business as usual, and I fully expect there’ll be an extra spring in our step and our service following this news.”
Employee ownership has been gaining traction in the UK, especially among purpose-driven businesses looking to preserve their values while enabling succession. The Union joins a growing list of creative and agency businesses choosing this route instead of selling to networks or private equity – a sign of confidence in its people-first model.
(L-R) Outgoing Directors, Gus Chalmers and Ian McAteer, with the Executive Board Directors who will take the reins of the agency; Daniel Batey, Michael Hart, Heather Blair, Louise Killough and Emma Campbell.
Michael Hart, Executive Director, the Union Group, speaking on behalf of the new Executive Board and all staff, said: “This is a once-in-a-generation opportunity. Rather than pursuing a trade sale, the founders have entrusted the agency’s future to its people. It’s an act of faith that gives us control, continuity and renewed ambition. We’re determined to build on our creative reputation and continue growing with purpose, based on our unique blend of award-winning creativity, client service and ability to deliver across all marketing channels.”
With £11m turnover and more than 800 awards, the Union ranks among the UK’s top five regional agencies (Campaign 2024) and is one of Scotland’s most awarded creative agencies over the past decade. The agency has been nominated 20 times for the upcoming Marketing Society Scotland Star Awards in June.
Based in Edinburgh, the Union Group has always championed a strong Scottish presence in UK marketing, and remains committed to its local roots, while delivering campaigns that work on a national and international stage.
The transaction was handled by Anderson Strathern (legal) and Azets (accountancy).
Alan O’Riordan, Partner at Azets, said: “Azets are delighted to have been able to support the Union group in transitioning to employee ownership. Despite the added complexities following the October 2024 Budget, EOTs remain an attractive option for many businesses. Azets wish the Union Group and its employees the very best of success in this exciting next chapter.”
Carole Leslie, from Ownership Associates UK acted as a specialist consultant for the Union team, helping to guide them through the process, which concluded on 29th May 2025.
Carole, who has advised on over 150 employee ownership projects since 2005, commented: “The evidence is clear that EOTs perform well, with better productivity, profitability, staff retention and wellbeing. Although the model has been around for a long time, for example John Lewis in 1929, we now are seeing an exponential increase in the number of EOTs in recent years, with a predicted 500 UK EOT transactions this year alone. I think for a business like the Union group, which is entirely built on the talent of its people, employee ownership is the best fit possible.”
For further information visit: www.union.co.uk
