JOB-STARVED Weardale has welcomed the news that its struggling co-operative society is in merger talks with one of the country's most successful independent groups.

Bosses of Penrith Co-operative Society, in Cumbria, have confirmed they want to link with the Stanhope and Weardale Co-operative Society, which has five stores employing 29 people.

Directors of the Penrith society, which last year made a profit of 119,798, will be talking to executives and staff in Weardale tomorrow.

The Stanhope society had a turnover of £1.2m last year, but did not make a profit.

Penrith Co-op's chief retail executive, John Mills, said: "We have had an open door with the Stanhope and Weardale Co-operative Society for some time now. They came to us because we have built up the management expertise to run six successful retail outlets employing 170 people.

"There are pluses on both sides. We feel we have the right skills in retail and management, and the Stanhope society has expertise in administration it can bring to the partnership. It is a question of competent people getting on the right track."

Mr Mills, who said he expected the merger to be completed by July, emphasised the organisation had no plans to close stores in Weardale or make staff redundant.

The Stanhope and Weardale sign would be kept on shopfronts, although it will be joined by the Penrith logo.

Two members of the Stanhope board of directors will be invited to sit on the Penrith board.

Durham county councillor John Shuttleworth, who has been battling to save jobs in Weardale, said: "This is the best piece of business news we have had in the dale for a long time."

In a letter to its members, the directors of the Stanhope and Weardale Society, said: "Following a comprehensive review of the short and long-term needs of the society the directors decided that a merger with the Penrith Co-operative Society would secure the best future for its members and staff.