The transfer of engagements of Southern Co-op into the Co-op Group has been announced today (27 July), with the deal still pending final approval from the regulator.
The Group says the transfer is ”a key milestone with Southern Co-op now transferred to a wholly owned subsidiary of the Group, ‘Siena Co-operative Limited’, but continuing to trade as Southern Co-op”.
This follows the approval by Southern Co-op members in May.
The transaction remains subject to Competition and Markets Authority (CMA) approval. For now, both co-ops will continue to operate separately, with the outcome of the review expected later in 2026. Subject to approval, integration plans will then progress.
The Group says the transfer “marks the start of an exciting new chapter of co-operation, creating the opportunity for a co-operative society with greater scale, resilience and impact for members, customers, colleagues and communities across the UK, helping to grow co-operation and provide even greater member value through a broader offering”.
Under Siena Co-operative Limited, Southern Co-op’s food, funeral and Starbucks businesses will continue to operate as normal and separately to the Co-op Group with no immediate changes for members, colleagues, suppliers or communities.
“Today marks a historic milestone for both societies and the wider co-operative movement,” said Kate Allum, interim CEO of the Group. “By combining over 300 years of co-operative heritage, we are building a stronger future for members, customers and communities. Together, we can create more opportunities, deliver greater value, and drive the growth of co-operation across the UK for generations to come.”
Ben Stimson, CEO of Southern Co-op said: “Today marks an important milestone for Southern Co-op. I’d like to thank our colleagues for everything they continue to do to support our members, customers and communities as we reach this point.
“As we take this next step, we’re doing so alongside an organisation that shares our co-operative values and our commitment to making a positive difference in the communities we serve. Our organisations have worked together successfully for many years, including through the Federal Retail Trading Society (FRTS) buying and supply group and the wider co-operative movement, and today’s announcement reflects the strength of that longstanding relationship.”
It builds on an already proven history of successful co-operation for both organisations, including through the Federal Retail Trading Society (FRTS) buying and supply group and wider collaboration within the co-operative movement over many decades.
The CMA is still taking views on the merger, and last week issued an order blocking any action which might lead to the integration of the Southern business with the Group business; transfer the ownership or control of the Group business or the Southern business or any of their subsidiaries; or otherwise impair the ability of the Southern business or the Group business to compete independently in any of the markets affected by the transaction.
