Move would strengthen the co-operative movement across the country

The proposal is subject to regulatory approval

The proposal is subject to regulatory approval

The Co-op Group and Southern Co-op have announced a proposal to join forces to “create a co-operative society with greater scale, resilience and impact for members, customers, colleagues and communities across the UK”.

If approved, the proposal would result in 300,000 Southern Co-op members joining the seven million Co-op Group members in an enlarged Co-op Group.

Southern Co-op operates more than 300 food, funeral and Starbucks coffee branches across the south of England, with the Co-op Group operating over 2,300 food stores, 800 funeral homes and a wholesale business supplying around 8,000 outlets, as well as legal services and insurance business.

The two groups said the transaction would also strengthen the co-operative movement, particularly in the south of England, and help continue to grow co-operation, providing  greater value to all members through meeting more of their needs with a wider co-operative offering.

The proposal is subject to approval by Southern Co-op members and mandatory regulatory approvals, with Southern Co-op members becoming members of an enlarged Co-op Group in the third quarter of 2026. 

Both businesses would be expected to continue to be run independently for a period of time after that point while competition approval is sought. 

Debbie White, chair of The Co-operative Group, said: “The co-operative model is more important than ever for the health and success of communities across the UK, and a combined co-operative, bringing together over 300 years of co-operative experience, will provide new and strengthened opportunities for members, customers, colleagues and suppliers of both of our co-operatives.”

Ben Stimson, CEO of Southern Co-op, added: “The Co-operative Group shares our values and our commitment to democratic membership, ethical sourcing and fair reward, as well as our dedication to supporting local communities.

”By coming together, we can secure the co-operative future of Southern Co-op as part of a stronger combined Co-op Group, whilst creating an even stronger voice nationally and internationally to advance the co-operative cause.”