Co-op Group and Southern Co-op merger reaches ‘major transaction milestone’

The Co-operative Group has today (27 July) announced the completion of the transfer of engagements of Southern Co-op into The Co-operative Group.  

This is a “key milestone,” it said, with Southern Co-op now transferred to a wholly owned subsidiary of the Group, named 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-operatives will continue to operate separately, with the outcome of the review expected later in 2026. Subject to approval, integration plans will then progress.  

This 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. 

Kate Allum, interim CEO of the Co-operative Group, said: “Today marks a historic milestone for both societies and the wider cooperative movement. By combining over 300 years of co-operative heritage, we’re 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: “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.”