Plans to merge United Co-operatives, owner of Sunwin Motor Group, with the larger Co-operative Group have been given the green light by their respective boards and will now go to a members vote.

It is unclear what the move will mean for Sunwin’s 21 dealerships in Yorkshire, Lancashire and the East Midlands.

The group deals in new and used cars and has multi-franchises including Alfa Romeo, Fiat, Hyundai, Land Rover, Mazda, Nissan, Peugeot and Renault.

However, the Co-operative Group currently has no interests in motor retailing.

There will be meetings of members to consider the recommendation in April and May and, if the move is approved, the new Co-operative society will be established in late July.