Two of the largest mobile broadband providers in the UK are merging their businesses, it has been announced.

T-Mobile and Orange will see their companies merge after a deal was struck between Deutsche Telekom and France Telecom, the owner's of the respective organisations.

Following the merger, the broadband offerings of the two companies will be held in the 50:50 joint venture company, with both brands remaining on the high street for 18 months after the deal is completed.

Timotheus Höttges, chief financial officer of Deutsche Telekom, claimed the merger will see the organisation become a ""market leader" and that customers can benefit from the "best mobile broadband offer in Britain".

The deal, due to be signed before November, will bring "substantial benefits to UK customers, who will be able to access better network coverage and quality as well improved customer service, he added.

A recent YouGov study of mobile broadband users placed T-Mobile first in eight categories, including being the fastest for both upload and download speeds.