On 6 May, our members will decide on a proposal that will shape the future of Southern Co-op for generations to come. We are asking our members to vote in favour of joining forces with the Co-operative Group – and it’s important to be direct about why this matters.
For 150 years, Southern Co-op has served communities across the south of England with principles of democracy, ethics, fairness and social responsibility. We are custodians of that legacy, and that responsibility weighs heavily as we face an unprecedented challenge.
The reality is stark: Southern Co-op has made significant losses over the past three years, with last year’s operating loss exceeding £20m. Rising employment costs, energy prices, intense competition, devastating retail crime and the malicious criminal cyberattack on Co-op Group, which significantly impacted both societies, have compounded this decline.
We have a duty to protect what matters most: our services to our members, our people and our communities. Without intervention, Southern Co-op would likely not be able to continue trading in its current form – a devastating outcome for colleagues, suppliers, and the communities we serve.
We have explored every option – estate reviews, seeking additional banking support, operational efficiencies – but none have provided the runway we need to secure our future independently.
A merger with Co-op Group offers something the alternative cannot – a future. Its financial stability provides the security we need. Its established presence in food retail, funerals, legal services and insurance means we can combine strengths, preserve more stores and expand services to members. Critically, far more colleagues keep their jobs. Far more of our heritage survives.
The group shares our values and our commitment to democratic membership, ethical sourcing and fair reward, as well as our dedication to supporting local communities. By coming together, we can secure the co-operative future of Southern Co-op as part of a stronger combined Co-op Group, whilst creating an even stronger voice nationally and internationally to advance the co-operative cause.
We share co-operative values, purpose and ethos through our proven history of working together. The combined organisation will bring together over 7.5 million members across the UK – a truly democratic, member-owned enterprise with greater scale and resilience.
Members will continue to shape the organisation they own. Their voice remains central to everything we do.
We know this news is challenging. Change is uncomfortable. But the alternative – allowing deeper financial distress to hollow out Southern Co-op – is far worse.
Southern Co-op has survived for 150 years because it adapted. This merger is that adaptation – one that protects co-operative values for the future.
Ben Stimson, CEO, and Janet Paraskeva, chair, Southern Co-op
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