Dixons and Carphone Warehouse to be 'very strong'

The merger of Dixons and Carphone Warehouse "made sense" because of the current retail trends, according to the chief executive of Dixons Retail.

Sebastian James told BBC Breakfast that the increasing demand for household electrical products which are connected to mobile technology meant that it was logical for the two firms to join together.

Mr James also insisted that the move would not lead to job losses but would in fact create new employment.

The merger, which will see the formation of a new firm called Dixons Carphone, has been confirmed in a deal worth £3.8bn.