Howden Insurance Multi-Million Investment in Perth

Perth’s strong connection to the insurance industry and finance sector dates back as far as the nineteenth century, when the Employers’ Liability Act (1880) opened a new era for insurance companies, including General Accident, which was established in the city in 1884.

Today, the sector continues to thrive, with industry leaders, Howden, committed to a multimillion-pound investment as it moves to double its workforce in Perth. Led by Commercial Director, Graeme Christie, these ambitious plans include job creation, property development, and continuous investment in its people.

Q1. What were the deciding factors in Howden choosing Perth as a Scottish insurance broking hub?

GC: “To answer that, we need to understand a little of the history. Howden was established in 1994 by David Howden, two friends and his dog Flight. They were working as brokers at the time and moved to create an insurance brokerage with independence, employee ownership, and clients’ needs at front of mind.

“In the 30 years since then, the business has grown to become one of the leading insurance brokers in the world, with an annual turnover of $42bn.

“As part of its growth strategy, Howden made many tactical acquisitions, which resulted in a Perth presence; and so, initially, the location in Perth was more by default than design. However, it proved to be a worthwhile asset, and a strategic decision was made to invest in our base here, growing the team and the opportunities on offer.”

Q2. What are those opportunities, and how has Howden embraced them?

GC: “One of the most important assets in our business is our people and our base here in Perth has allowed us to grow quickly, and efficiently. Perth has always been an insurance hub; over the years it has been home to large brands such as General Accident / Aviva, and serious independents such as Clark Thomson. This collective history generates its own positive PR; not only is insurance a good career that people recognise, but there is also a ready-made local talent pool and depth of knowledge. Put simply, when our competitors’ doors closed, ours opened wide!

“In addition to this, there is a significant benefit in the cost of doing business. When you compare property prices in Perth to other city locations, they are extremely favourable – with no downside. Perth’s central position within Scotland makes it easy to connect with Howden’s wider UK office network, by road, rail and air.”

Q3. What benefits does a global brand bring to a local economy?

GC: “Since it started 30 years ago, Howden has strived to provide an individual service to its customers. Yes, we’re a global brand, but we keep our approach and attitude local.

“When we consider the markets that are important to Perth and wider Scotland, we’re looking at sectors such as renewable energy, agriculture, whisky, construction, property, and private clients – to name a few. Howden play a significant part in renewable energy in the UK with over 800 projects in wind, hydro and solar. We also hold a noteworthy role in the rural sector, and one of our most interesting niche departments is the whisky team. Focused on whisky and distillers, this team are experts in the field and bring an unrivalled depth of knowledge to the sector.

“We do all of this because it makes sense on a global scale, and at a local level.

“In addition to the businesses we represent, as a local broker, we like to connect with the communities we serve, and to understand what matters to them most. And as a global company, we have the influence and resources to act on this knowledge.

“For example, we’re currently supporting Perthshire Rugby Club, and although this links nicely to Howden’s partnership with the British and Irish Lions, it was a team connection that made it all happen. We donated new equipment following their recent flood, and we’re looking forward to sponsoring the Beer Festival this May!

“Most importantly, as a global brand, we bring stability to the local market because we’re at the end of the acquisition journey. The uncertainty surrounding mergers or buy-outs falls away and with that, clients benefit from a continuity of service, and our team can rely on longterm job security.”

Q4. What does investment in the Perth branch look like?

GC: “Howden has over 200 offices across the UK and has committed to a significant investment here, in Perth.

“We have secured a long-term lease on the office at Caledonian House, which is currently undergoing a major refurbishment and expansion to accommodate the next step in our recruitment strategy. It has also become a real showcase here in Scotland; the views and surrounding environment are unrivalled, and we love to bring in our colleagues from out of town and show off what Perth has to offer.

“Over the next two years, we will grow from a team of 75 employees to a team of 150 and with this, we will look to support those individuals keen to progress with professional and niche area qualifications.”

Q5. How will Howden sustain the growth required to support this investment?

GC: “One of the reasons Howden has continued to grow is because we, the team, are all invested in making that happen. And I mean that literally!

“Howden is 35% employee owned with the balance spread between long-term pension fund and capital investors. This nurtures an entrepreneurial mindset which is replicated throughout the employee chain – no one wants to make silly decisions.

“This ongoing proposition is opened annually, allowing people to develop professionally and invest in the business they are committed to. “There is also security in a global brand; our longevity has its roots in sound business practices and careful planning. The investment in Perth is part of the strategy that has served us well for 30 years, and I’m confident that it will reap similar rewards in the years to come.”

Investment in People

Sean Buchan, Associate Director, leads the Business Development Team at Howden’s Perth office in Caledonian House, and is responsible for sales and talent growth.

Handling 6,000 outbound calls each month, the Howden team at Caledonian House is currently a 75-strong group of business development executives, account handlers, brokers, and senior management. What had started as a team of five telesales operators in 2019 is set to become the company’s largest Scottish department, with 150 people working five days per week by 2027.

Sean explains the rapid growth: “I joined in 2019, heading up a small team of five telesales operatives. By the time we were purchased by Howden, the team had grown in size and experience with 30 knowledgeable people joining the company’s ranks.

“This figure now sits at 75, with plans in place to double by 2027, making us the largest Howden team in Scotland.”

Focused on sales and business retention, the Business Development Team is a key component of Howden’s ongoing success. All team members go through an intensive training programme, and are encouraged to continue in that mindset, either by progressing into broker roles, moving into expert positions or taking a secondment to a new location.

“When we operate in niche markets, we encourage our team to really get to know the industry; the whisky qualification is a great example of this. We also provide opportunities for people to undergo placements in London, Bristol and Manchester offices, learning from the experts who have been with the company for a long time.

“At an entry level position, many of the team are school or college leavers, eager to find a pathway to career success. As a company, Howden embraces ambition and rewards success which keeps things interesting for anyone looking to grow professionally. This approach means that we can offer young people excellent career opportunities which in turn brings business stability, and excellent staff retention.

“Everyone in the office knows and supports one another; there’s a small office feel, with high expectations, and people have responded well to that. You could be chatting to a small, one-person band here in Perth in the morning, and dealing with a multinational company in the afternoon. It keeps you motivated and wanting more."

About Howden Insurance

Howden Insurance has 260 offices in the UK including Manchester, London, Bristol, Edinburgh and Glasgow. It serves 55 countries and employs 17,000 people worldwide. The company is 35% employee owned with the balance spread between long-term pension fund and capital investors.

www.howdengroup.com