MORRISON'S supermarkets completed its merger with Safeway on Wednesday, ending speculation over the past 12 months as what would happen to the stores.

The company will sell off some of its own less profitable stores and take over the larger Safeway stores.

In North Yorkshire, the merger will mean Morrison's store in Ripon city centre is sold to another food retailer while the company takes over the new Safeway store on the outskirts of the city.

The Mayor of Ripon, Coun David Parnaby, said: "For Sale signs went up at the market place store this week. It makes sense for Morrison's to retain the larger Safeway store as it has its own petrol station, bakery and huge carpark

"We just hope the market place store will be taken over by a quality retailer as I understand larger companies cannot buy it owing to the monopoly position."

The council is dealing with another large supermarket development to the west of the city centre. Booths plans to build a huge store along with five other shops, two of them large, and 36 apartments which will be served by a new inner relief road.

A huge car park is also planned on the land which is derelict at present.

"This is what we need in Ripon as we have no large stores at all," he said.

The enlarged Morrison's formally started trading on Wednesday.

Sir Kenneth Morrison, executive chairman of Morrison's, said: "Today marks the end of a process that started well over a year ago, but it also marks an exciting beginning for our new company. In January last year, we promised this merger would create a major fourth force in UK food retailing.

"I would like to welcome the employees of Safeway and look forward to working with them to make this integration a success."

The enlarged group will be the UK's fourth largest for retailer with 554 stores, 10m weekly customers, an annual turnover of £14bn and 145,000 employees.