The brand value of Manchester-based Co-op Group has soared 45% to £2.05 billion, according to the 2019 Brand Finance UK 150 report by consultancy Brand Finance.

The report said: “Higher wages, low unemployment (the lowest level since the mid-70s) inflation under 2%, and pre-Brexit stockpiling of dry goods, may be instrumental in this growth.

” … the Co-op’s 4 years run of introducing large numbers of new stores, some through acquisition, has also boosted brand value.

“This year a planned £12 billion merger between Sainsbury’s and Asda was blocked after Britain’s competition watchdog, the Competition and Markets Authority, raised a catalogue of concerns, including higher prices and reduced quality and choice for customers.”

Last month, Co-op Group said its 2018 revenue grew 14% to £10.2 billion, driven by its acquisition of Nisa and a strong performance from its food division. 

Profit before tax from continuing operations was up 27% to £93 million, with underlying profit before tax remaining flat at £43 million.

Brand Finance said it calculates the values of the brands in its league tables using the “Royalty Relief” approach – a brand valuation method “compliant with the industry standards set in ISO 10668.”

Brand Finance said this involves “estimating the likely future revenues that are attributable to a brand by calculating a royalty rate that would be charged for its use, to arrive at a ‘brand value’ understood as a net economic benefit that a licensor would achieve by licensing the brand in the open market.”