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Building societies set for merger

The Nottingham and Shepshed Building Societies will combine to create Britain's ninth-largest mutual.

14 December 2012

The Nottingham and Shepshed Building Societies have announced plans to merge.

Business negotiations between the two parties have concluded successfully, with the deal coming into effect in July next year.

Nottingham is much the larger of the two and the new mutual will carry its name, with three Shepshed branches being added to the 31 currently run by Nottingham.

The pair have said no compulsory redundancies will occur as a result of the merger.

Shepshed Building Society, which was founded in 1879, said it had struggled to cope with the "longer than expected" recession and had been seeking a merger to stay in existence.

Once the move is completed its current board of directors will resign their posts.

The move will make Nottingham Building Society the ninth-largest mutual in the country.

Other mergers involving the two companies taking the name of one firm instead of combining them is that of accountancy firms BDO and PKF, which will operate under the BDO name once they have joined together.

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