The EU has given unconditional clearance for Marriott’s takeover of Starwood, which operates brands such as Sheraton, Westin, W Hotels, Le Meridien and St Regis.

The proposed deal still needs to obtain clearance from other countries including China. Both Marriott and Starwood expect the takeover to be completed in July although they continue to operate as separate company until the acquisition is finalised.

Margaret Vestager, commissioner for competition at the European Commission, said: “This is an important merger for the hotel industry and its customers.

“Our investigation confirmed that the hotel sector will remain competitive for customers in Europe following the merger, so I am pleased that the commission was able to clear the transaction quickly."

Leading travel management company Carlson Wagonlit Travel said that the Marriott-Starwood deal was “likely to change the way corporate travel is bought and sold”.

Scott Brennan, CWT’s head of global supplier management, said: “Everyone has to think very carefully about what this means for negotiating corporate travel deals.

“The implications are potentially huge. We think the new Marriott/Starwood group is going to have a lot of say in the market, which could alter the way corporate rooms are bought and sold.”