The province is moving forward with a plan to merge the Manitoba Liquor Control Commission and Manitoba Lotteries Corporation.

A report prepared by consulting firm MNP estimates the annual savings will be $3 million, resulting from a reduction in general costs, consolidation of contract services and the elimination of some senior management and executive management positions.

The province first announced the plan to merge the two Crown corporations in the 2012 budget, released in the spring.

The transition is expected to take about two years to complete.

The province is considering moving the merged corporations into The Bay building in downtown Winnipeg.