Co-op revamps beloved 'divi'

The Co-op today revealed that it is to scrap its traditional "divi" system in the West Midlands and replace it with a new profit-sharing scheme.

It says this will lead to bigger payouts for its 220,000 members across the region.

The Midcounties Co-operative, with its headquarters in Walsall and 600 stores and businesses stretching from Shropshire to Oxfordshire, says the new system will also give members a bigger say in how the Co-op is run.

Midcounties is launching a new co-operative membership card to replace the old superdividend card.

Members collect points as they spend in Midcountries Co-op stores.

In future it will be based on a share of the profits, which have rocketed since the merger of the former West Midlands Co-op with the Oxford, Swindon & Gloucester Co-op.

In the 12 months to the end of January this year underlying trading profits soared by more than 50 per cent to £9.6 million as sales at the Midcounties businesses grew by 42 per cent to £597million.

Midcounties chief executive Ben Reid, said today: "This move revitalises the traditional co-operative 'divi' which is valued and loved by many people in the UK."