Sharing Good Practice on Charity and Housing Association Mergers

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Conference
2026 National Community Conference and Seminar
Date
5 November 2025
Decision
Carried

Conference notes that there has been a growing interest in merger among voluntary and community organisations. The number of charity mergers increased by 31% last year according to research by the Eastside People’s Good Merger Index. Researchers suggest that more charities may be exploring mergers due to mounting financial pressures, recruitment challenges, and shrinking budgets for outsourced contracts. Housing Associations too have seen some notable mergers, with Octavia joining Abri as a subsidiary, and the Wrekin Housing Group and Housing Plus Group merging earlier this year.

A merger is where two or more organisations formally come together, most commonly by one transferring its property to the other and then ceasing to exist. While mergers can bring opportunities for sustainability and improved services, they can also lead to job losses, changes to terms and conditions, and a loss of organisational identity and voice.

Historically, the larger organisation in a merger of two tended to be in surplus, while the smaller tended to be in deficit. However, this year’s report reflected a continuation of a “post-COVID-19 reversal of this trend”, with the number of larger charities in deficit increasing, from 16% in 2022-23 to 22% in 2023-24.

Conference notes that UNISON Community Sector members are often directly affected by these processes, sometimes with little consultation or support. Charity and housing association mergers often aim to cut costs by reducing “duplication” in back-office roles such as HR, finance, and communications. Even when TUPE (Transfer of Undertakings) applies, merged charities and housing associations may later seek to harmonise pay and conditions downwards, citing “efficiency” or “equity.” Workers often feel a loss of belonging when their original organisation’s values, branding, or leadership disappear.

However, conference notes that a well-planned merger can prevent the collapse of one partner charity or housing association, saving jobs that might otherwise be lost. There are examples of mergers that have been handled well — where early engagement with UNISON, transparent communication, and proper due diligence have protected staff and strengthened services. Good practice in managing charity and housing association mergers should be identified, shared and promoted across the community sector. UNISON has a key role in ensuring members’ voices are heard during merger discussions and that fair processes are followed.

Conference calls on the Community Service Group Executive to:

1)Gather and collate examples of good practice from branches that have supported members through charity and/or housing association mergers.

2)Produce and disseminate guidance for branches and activists on supporting members before, during, and after mergers — including advice on consultation, TUPE, job security, and communications.

3)Work with UNISON’s Learning and Organising Services and Policy Units to deliver training and briefing sessions for activists on managing change and merger processes.

4)Lobby relevant bodies, funders, and umbrella organisations (such as NCVO and local infrastructure organisations) to promote fair employment standards and union consultation as part of any merger or restructuring process.

5)Report back to the next Community Conference on progress made.