Seems that the UK and Canada are going to be sharing their embassies, in terms of embassy buildings, for certain missions:
Embassy deal raises concernsThe agreement will see the two countries sharing embassy space and even embassy staff in some parts of the world, although they will continue to have their own ambassadors and, both countries say, independent foreign policy. There is little reason to doubt the latter point, despite cries from the Opposition, although Canada must be careful about how the arrangement is perceived abroad.
Pros are money (natch) and further reach:
What with all the demands for cuts, would there be an argument for us sharing our embassies with another country? If so, then which? While Canada and Britain share a head of state, that's obvivously not a case for us unless there's another country out there that wants a piece of Michael D.This could well save money, although that is not a foregone conclusion. It will certainly allow Canadians to have diplomatic representation in some parts of the world, including parts of Africa and the Caribbean, where there is none now, which is a good thing.