Cook and Co-op merger gets go-ahead

The three-way tie up, which also involves the Midlands Co-op, will create the UK’s largest high street travel agent and second largest foreign exchange group with over 1,200 shops.

Confirming its provisional findings, the Competition Commission ruled that even with the firm’s strong position customers are unlikely to pay more or have less choice as a result of the merger.

Thomas Cook needs some good news after three profits warnings in the past year forced the resignation of chief executive Manny Fontenla-Novoa a fortnight ago.

The company will own 70 per cent of the new group and has promised savings of around £35m a year.