Morrisons is to face an investigation by the UK’s competition watchdog, following its £190m takeover of convenience chain McColl’s. 

The Competition and Markets Authority (CMA) said the probe had been launched amid “competition concerns”. 

An initial enforcement order has been issued by the regulator and the chains will trade as separate entities until the outcome of the investigation. 

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“The CMA is considering whether it is or may be the case that a relevant merger situation has been created and whether that situation may result in a substantial lessening of competition,” a spokesperson said. 

Morrisons saved McColl’s from collapse last month, retaining 1,160 stores and 16,000 jobs. 

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