SOCIAL enterprise firm Eaga has become Europe's largest residential energy efficiency services provider after buying one of its main rivals.

The Newcastle-based company yesterday announced it had acquired the Mico Group for an undisclosed sum.

The move more than doubles the size of its workforce to 1,400.

Eaga Partnership delivers energy efficiency programmes on behalf of central government, the utilities and social housing providers.

John Clough, chief executive of Eaga Partnership said: "Both Eaga and Mico Group play key roles in delivering important fuel poverty programmes.

"Our customers are some of the most vulnerable people in society.

"Both companies have a proven track record in delivering a high quality service that exceeds their expectations and delivers help to those most in need."

Major contracts include the Warm Front scheme and a £3m deal to implement British Gas's Quality of Life programme.

The three-year initiative will offer vulnerable customers, such as elderly people, a free benefit entitlements check to make sure they are claiming the help they are due.

From its Rotherham headquarters, Mico installs insulation in homes across England and Wales and has 15 regional depots.

Eaga, which is an employee- owned firm, turned over £250m last year, while revenues at Mico hit £35m.