MANCHESTER, England, May 29 /PRNewswire/ -- Britannia members overwhelmingly endorse plans to merge with The Co-operative Financial Services (CFS) to create new super-mutual:
- New business will be the most diversified customer-owned enterprise in UK financial services, providing ethical alternative to banks
- Strong strategic and cultural fit between the two organisations with expected efficiency and revenue benefits of pounds Sterling 60 million a year
- Customers will continue to share profits and have a say in running the business
Members of Britannia Building Society have voted overwhelmingly in favour of merging with The Co-operative Financial Services to create the first super-mutual - an ethical alternative to shareholder- and Government-owned banks.
More than 450,000 Britannia members voted at the Society's annual general meeting, held at the Birmingham National Exhibition Centre. 88.6 percent of savings members voted in favour, well over the 75% majority required, and 86.2 percent of borrowing members supported the proposal, well over the 50% majority required.
The merger, which has already been approved by The Co-operative Group and CFS boards, is expected to become effective on 1 August, subject to confirmation by the FSA.
In the first-ever merger between different types of member-owned businesses, the new organisation will combine the strong CFS personal and corporate banking, insurance and investment expertise with Britannia's extensive high street presence and savings and mortgage strength.
Combining CFS, part of the world's biggest consumer co-operative, with Britannia, the UK's second biggest building society, will create a business with pounds 70 billion of assets, nine million customers, 12,000 employees, more than 300 branches and 20 corporate banking centres.
Mr Richardson said: "I'm delighted th
|SOURCE The Co-operative Bank|
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