The £375.5m takeover of bookies Coral by rival Ladbrokes could be referred to the Monopolies and Mergers Commission, the Foreign Secretary has hinted.

Robin Cook said the Department of Trade and Industry "will be examining very carefully" the proposal announced last week.

He told the BBC: "I think there must be very clear scrutiny of the deal."

If Ladbrokes takes over Coral's 891 betting shops it would control a third of all high street bookies.

Mr Cook said: "Take it from me as a tipster, 36% of betting turnover is a lot of money."

When he took up his post as Foreign Secretary in May, Mr Cook refused to give up his weekly racing column for The Herald newspaper in Glasgow.

He added: "In particular, questions need to be explored about the extent which this gives Ladbrokes a very dominant share of the market - one in three betting shops.

Robin Cook: "Take it from a tipster, 36% of betting is a lot of money"

"These are questions my colleagues at the DTI will be examining very carefully."

Mr Cook expressed concern that the terms of Ladbrokes' proposed purchase of Coral meant it would in effect swallow Britain's third biggest betting chain.

"I saw the Coral family expressed regret that the name would pass," he said.

"I understand that. All those who take part in the racing industry are sentimental about its history and Coral has been very much part of that for the past two decades."

Mr Cook's remarks led the eccentric Channel 4 tipster, John McCririck, to make a prediction outside of his normal field of expertise.

"I would call for a freeze to be put on the deal," he said.

"As a betting man, I would now say it is odds against it going ahead."
 

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