The Competition and Markets Authority (CMA) has begun an inquiry into the merger of The Co-operative Group and Southern Co-op.
Seeking views on the merger, the CMA is issuing an ‘invitation to comment’ to allow interested parties their say on the impact that the transaction could have on competition in the UK. This marks the first part of the CMA’s information-gathering process ahead of the launch of a formal investigation into this transaction.
Invitation to comment closes 18 June 2026 and views can be submitted to coopgroup.southerncoop@cma.gov.uk or Jeremy Chan, Principal Case Officer, jeremy.chan@cma.gov.uk, 020 3738 6784.
The merger was approved by Southern Co-op members at a series of Special General Meetings and, when completed, will now see 300,000 Southern Co-op members joining the seven million Co-op Group members as members of an enlarged Co-op Group.
When the merger was first proposed, CEO Ben Stimson and Chair Janet Paraskeva warned members that if the merger does not take place, the future of Southern Co-op was at risk.
In a letter to members in April, they said: “Southern Co-op has made losses for the past three years. Over the last year, trading has become more difficult, and we have relied on ongoing support from our banks and suppliers to continue operating. That support cannot now be increased within the time available. To continue trading without a merger, we would need a significant level of financial support and we have not received any offers of funding at that level.
“If the merger does not go ahead, the most likely outcome is that Southern Co-op will enter insolvency through administration. This would put jobs at risk, lead to the loss of stores and negatively impact our suppliers.”
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