Southern Co-op members vote to 'join forces' with Co-op Group in 'important milestone'
Southern Co-op members vote to merge with Co-op Group
Over 16,000 members of the Southern Co-op have voted to merger with the Co-op Group after warnings that the future of the Portsmouth based group was at risk if they did not.
Having already voted in favour of the move at a Special General Meeting held on May 6, the decision needed to be ratified with a second vote taking place on Thursday, May 21. The votes in favour of the merger increased from 12,969 to 16,091 votes from the first and second meeting.
The vote means that around 300,000 Southern Co-op members alongside the company’s food stores and funeral homes across Portsmouth, Hampshire and Dorset will move over to the Co-op Group.
Plans to merger were announced in April with a letter to members outlining that the Southern Co-op had made losses over the past three years and that without the merger significant levels of financial support would be needed to keep it going.
A spokesperson for Southern Co-op said: “Our Members have voted to join forces with Co-op Group. Over 16,091 Members voted – significantly more than the first vote – demonstrating strong engagement from our Members in Southern Co-op’s future.
“This represents an important milestone, giving us a clear mandate to progress our plan to join forces for the benefit of Members, colleagues and communities across the UK, while preserving the heritage and legacy of Southern Co-op and all that it stands for.”
While members have voted in favour of the merger, there are further steps that need to be taken for the move to be completed.
The spokesperson added: “The next step is to register the transfer with the Financial Conduct Authority (FCA). Once registered, all Southern Co-op assets, liabilities and employees will transfer to a subsidiary of Co-op Group with colleagues transferring under TUPE regulations, meaning existing terms and conditions of employment will be protected. This is currently expected to happen at the end of July 2026.
“Alongside this, the Competition and Markets Authority (CMA) will review the transaction, although this review won’t affect completion of the merger. While the CMA process continues, Southern Co-op will operate as a standalone subsidiary within Co-op Group. We do not expect any immediate operational changes.
“Members will still be able to use their Southern Co-op card and access the same benefits as usual and our stores and funeral homes will continue operating normally.”
Southern-Co-op has more than 300 food stores, funeral homes and coffee branches which will now become part of the Co-op Group.