Rival British tour operators MyTravel and Thomas Cook are to join forces after revealing plans for a £2.8bn (€4.2bn) merger today in a move that has sparked fears of job losses.

Rivals MyTravel and Thomas Cook today announced plans to bring together the two firms, creating a tour operator with nearly 33,000 staff.

Troubled tour operator MyTravel today struck a crucial deal with its banks to secure its financial future for at least another year.