IMHO This is more a case of Britannia being saved. It is very inefficient and it has made some poor decisions about investment on the wholesale markets over the years. IT has not brought down its standard variable rate as much as some other building societies and the amount it pays out to its members in "rewards" or dividends if you like gets smaller every year. Of course the Co-op is not a watchword for efficiency but it is a lean organisation. It is also technologically quite advanced compared to Britannia and may be able to drag it into the 19 century.

I think the Co-op bank has a good story to tell. Yes, the combined operations will be a bank not a building society but its ethical investment stragegy is also a very prudent one. As a long time Britannia mortgage customer I think this is good for me. CFS customers would have benefitted more if it had demutualised a couple of years ago but that ship has sailed for the next five to ten years.

I would be more comfortable if indeed a merger was creating a "'super-mutual' building society". Co-operative Financial Services are not a building society and neither of the statements published on the web sites of CFS nor Britannia Building Society suggest that the merged entity will be a building society.

My guess is that, because the Co-operative Bank is part of CFS, the nature of the merged entity will be closer to being a bank than a building society.

One pointer to the different types of mutual organisation that can exist is that, because Britannia is a building society, the members will get to vote on the proposed merger. CFS members will not get a vote.

Britannia Building Society and Co-operative Financial Services are to merge it was announced this morning, creating a 'super-mutual' building society with assets of £70bn, 9million customers and more than 300 branches.

Britannia members will become members of the Co-operative Group and the Financial Services Authority has confirmed that savers with money in both societies will not lose any compensation protection - £50,000 (£100,000 for joint accounts) with both organisations.

Are you a customer? How do you feel? Is this is a good thing in the present economic climate or are you worried about what this means for your savings or mortgage? Hot on the heels of another Government bank bailout, we'd love to hear what you think...