This paper constructs a novel Hopf algebra $\mathsf{cf}(\mathrm{UT}_{\bullet})$ on the class functions of the unipotent upper triangular groups $\mathrm{UT}_{n}(\mathbb{F}_{q})$ over a finite field. This construction is representation theoretic in nature and uses the machinery of Hopf monoids in the category of vector species. In contrast with a similar known construction, this Hopf algebra has the property that induction to the finite general linear group induces a homomorphism to Zelevinsky's Hopf algebra of $\mathrm{GL}_{n}(\mathbb{F}_{q})$ class functions. Furthermore, $\mathsf{cf}(\mathrm{UT}_{\bullet})$ contains a Hopf subalgebra which is isomorphic to a known combiantorial Hopf algebra, previously used to prove a conjecture about chromatic quasisymmetric functions. Some additional Hopf algebraic properties are also established.