Ferry deal referred

The British government has referred a proposed merger of key cross Channel ferry services provided by Britain's P&O and Sweden's Stena Line to its main competition watchdog for investigation.

Mr Ian Lang, president of the Board of Trade, said he had asked the Monopolies and Mergers Commission to study the competition effects of the deal - hatched to help the ferry giants counter the impact on the market of Eurotunnel's Channel Tunnel.