A £1.3BN MERGER between Chester and District Housing Trust (CDHT) and Cosmopolitan Housing Group has been announced.

The Tenant Services Authority has given its final approval for the merger, which will create a new group of nearly 14,000 homes across Cheshire, Merseyside and the North West, placing it among the 10 largest housing groups in the region.

Residents will keep their local identity but share central costs, with opportunities for new initiatives, improved services and increased involvement.

At its meeting in October, the CDHT board unanimously agreed to join the Cosmopolitan Housing Group, which has a portfolio of more than 3,500 student homes, as well as a dynamic enterprise arm.

The group aims to make efficiency savings which will provide further investment into residents’ homes, as well as an immediate increase in the number of new homes. The group will also seek to create jobs, be one of the top performing organisations in the North West, have the highest levels of satisfaction and make a positive impact on neighbourhoods.

Cosmopolitan Housing Group chief executive John Denny said: “This is a genuine coming together of two like-minded organisations which compliment each other well.

“All our residents will see the real benefits that will emerge from becoming one of the largest and most diverse organisations in the North West.

“We will have a development programme along with Wulvern to build new homes that amounts to more than 10% of the total allocation of the Homes and Community Agency grant given to the North West.”

CDHT board chairman Rob Thompson added: “The decision ta ken by the board to merge with Cosmopolitan Housing Group has created the opportunity to build a powerhous e of a regional organisation and to create employment and community opportunities for all of our tenants.

“I firmly believe this merger is in the best interests of the tenants and leaseholders of both CDHT and CHG.”