Two leading British auction houses are to merge to form the world's fourth largest.

The family-owned firms of Bonhams and Brooks plan to link up to create a multi-interest international auction company with 200 staff, combined sales of over £75 million and potential for continuing expansion.

The merged auction group is to be known as Bonhams & Brooks and their international headquarters will be Bonhams' established home in Knightsbridge.

Bonhams & Brooks deputy chairman-elect, Nicholas Bonham said, "By combining our individual strengths and through investment, Bonhams & Brooks will become a new group capable of competing at the highest level."