Credit Union Central of British Columbia has decided not to proceed further with discussions with Credit Union Central of Ontario respecting the merger of their wholesale financial services businesses. The discussions have been suspended due to legislative delays in both provinces and at the federal level.

The two organizations announced their intention to explore the merger of their financial services functions in October 2000, and their member credit unions endorsed the business case for the deal in April 2002.

The critical element of the merger is a compatible legislative framework in the two provinces, as well as amendments to federal legislation. While excellent progress has been made on many of these legislative changes, the centrals have determined that, short of obtaining enabling legislation, solutions beneficial to the credit union systems of both provinces cannot be found.

“While we continue to harmonize our policies and practices with those of CUCO, and remain committed to obtaining legislation that will enable the initiative to proceed, both we and CUCO have resolved to focus our resources on building on the strengths of our separate organizations,” said Wayne Nygren, president and CEO of Credit Union Central of B.C., in a news release.