diff --git a/tests/fixtures/layout-merge-failure.yaml b/tests/fixtures/layout-merge-failure.yaml
new file mode 100644
index 0000000..72bc9c9
--- /dev/null
+++ b/tests/fixtures/layout-merge-failure.yaml
@@ -0,0 +1,56 @@
+pipelines:
+  - name: check
+    manager: IndependentPipelineManager
+    trigger:
+      gerrit:
+        - event: patchset-created
+    success:
+      gerrit:
+        verified: 1
+    failure:
+      gerrit:
+        verified: -1
+
+  - name: post
+    manager: IndependentPipelineManager
+    trigger:
+      gerrit:
+        - event: ref-updated
+          ref: ^(?!refs/).*$
+
+  - name: gate
+    manager: DependentPipelineManager
+    failure-message: Build failed.  For information on how to proceed, see http://wiki.example.org/Test_Failures
+    merge-failure-message: "The merge failed! For more information..."
+    trigger:
+      gerrit:
+        - event: comment-added
+          approval:
+            - approved: 1
+    success:
+      gerrit:
+        verified: 2
+        submit: true
+    failure:
+      gerrit:
+        verified: -2
+    merge-failure:
+      gerrit:
+        verified: -1
+      smtp:
+        to: you@example.com
+    start:
+      gerrit:
+        verified: 0
+    precedence: high
+
+projects:
+  - name: org/project
+    check:
+      - project-merge:
+        - project-test1
+        - project-test2
+    gate:
+      - project-merge:
+        - project-test1
+        - project-test2
diff --git a/tests/fixtures/layouts/bad_merge_failure.yaml b/tests/fixtures/layouts/bad_merge_failure.yaml
new file mode 100644
index 0000000..313d23b
--- /dev/null
+++ b/tests/fixtures/layouts/bad_merge_failure.yaml
@@ -0,0 +1,39 @@
+pipelines:
+  - name: check
+    manager: IndependentPipelineManager
+    trigger:
+      gerrit:
+        - event: patchset-created
+    success:
+      gerrit:
+        verified: 1
+    failure:
+      gerrit:
+        verified: -1
+    merge-failure-message:
+
+  - name: gate
+    manager: DependentPipelineManager
+    failure-message: Build failed.  For information on how to proceed, see http://wiki.example.org/Test_Failures
+    trigger:
+      gerrit:
+        - event: comment-added
+          approval:
+            - approved: 1
+    success:
+      gerrit:
+        verified: 2
+        submit: true
+    failure:
+      gerrit:
+        verified: -2
+    merge-failure:
+    start:
+      gerrit:
+        verified: 0
+    precedence: high
+
+projects:
+  - name: org/project
+    check:
+      - project-check
diff --git a/tests/fixtures/layouts/good_merge_failure.yaml b/tests/fixtures/layouts/good_merge_failure.yaml
new file mode 100644
index 0000000..f69b764
--- /dev/null
+++ b/tests/fixtures/layouts/good_merge_failure.yaml
@@ -0,0 +1,53 @@
+pipelines:
+  - name: check
+    manager: IndependentPipelineManager
+    merge-failure-message: "Could not merge the change. Please rebase..."
+    trigger:
+      gerrit:
+        - event: patchset-created
+    success:
+      gerrit:
+        verified: 1
+    failure:
+      gerrit:
+        verified: -1
+
+  - name: post
+    manager: IndependentPipelineManager
+    trigger:
+      gerrit:
+        - event: ref-updated
+          ref: ^(?!refs/).*$
+    merge-failure:
+      gerrit:
+        verified: -1
+
+  - name: gate
+    manager: DependentPipelineManager
+    failure-message: Build failed.  For information on how to proceed, see http://wiki.example.org/Test_Failures
+    trigger:
+      gerrit:
+        - event: comment-added
+          approval:
+            - approved: 1
+    success:
+      gerrit:
+        verified: 2
+        submit: true
+    failure:
+      gerrit:
+        verified: -2
+    merge-failure:
+      gerrit:
+        verified: -1
+      smtp:
+        to: you@example.com
+    start:
+      gerrit:
+        verified: 0
+    precedence: high
+
+projects:
+  - name: org/project
+    check:
+      - project-check
diff --git a/tests/test_scheduler.py b/tests/test_scheduler.py
index 1d7be4a..496d468 100755
--- a/tests/test_scheduler.py
+++ b/tests/test_scheduler.py
@@ -3712,3 +3712,82 @@
 
         self.assertEqual(failure_body, self.smtp_messages[0]['body'])
         self.assertEqual(success_body, self.smtp_messages[1]['body'])
+
+    def test_merge_failure_reporters(self):
+        """Check that the config is set up correctly"""
+
+        self.config.set('zuul', 'layout_config',
+                        'tests/fixtures/layout-merge-failure.yaml')
+        self.sched.reconfigure(self.config)
+        self.registerJobs()
+
+        self.assertEqual(
+            "Merge Failed.\n\nThis change was unable to be automatically "
+            "merged with the current state of the repository. Please rebase "
+            "your change and upload a new patchset.",
+            self.sched.layout.pipelines['check'].merge_failure_message)
+        self.assertEqual(
+            "The merge failed! For more information...",
+            self.sched.layout.pipelines['gate'].merge_failure_message)
+
+        self.assertEqual(
+            len(self.sched.layout.pipelines['check'].merge_failure_actions), 1)
+        self.assertEqual(
+            len(self.sched.layout.pipelines['gate'].merge_failure_actions), 2)
+
+        self.assertTrue(isinstance(
+            self.sched.layout.pipelines['check'].merge_failure_actions[0].
+            reporter, zuul.reporter.gerrit.Reporter))
+
+        self.assertTrue(
+            (
+                isinstance(self.sched.layout.pipelines['gate'].
+                           merge_failure_actions[0].reporter,
+                           zuul.reporter.smtp.Reporter) and
+                isinstance(self.sched.layout.pipelines['gate'].
+                           merge_failure_actions[1].reporter,
+                           zuul.reporter.gerrit.Reporter)
+            ) or (
+                isinstance(self.sched.layout.pipelines['gate'].
+                           merge_failure_actions[0].reporter,
+                           zuul.reporter.gerrit.Reporter) and
+                isinstance(self.sched.layout.pipelines['gate'].
+                           merge_failure_actions[1].reporter,
+                           zuul.reporter.smtp.Reporter)
+            )
+        )
+
+    def test_merge_failure_reports(self):
+        """Check that when a change fails to merge the correct message is sent
+        to the correct reporter"""
+        self.config.set('zuul', 'layout_config',
+                        'tests/fixtures/layout-merge-failure.yaml')
+        self.sched.reconfigure(self.config)
+        self.registerJobs()
+
+        # Check a test failure isn't reported to SMTP
+        A = self.fake_gerrit.addFakeChange('org/project', 'master', 'A')
+        A.addApproval('CRVW', 2)
+        self.worker.addFailTest('project-test1', A)
+        self.fake_gerrit.addEvent(A.addApproval('APRV', 1))
+        self.waitUntilSettled()
+
+        self.assertEqual(3, len(self.history))  # 3 jobs
+        self.assertEqual(0, len(self.smtp_messages))
+
+        # Check a merge failure is reported to SMTP
+        # B should be merged, but C will conflict with B
+        B = self.fake_gerrit.addFakeChange('org/project', 'master', 'B')
+        B.addPatchset(['conflict'])
+        C = self.fake_gerrit.addFakeChange('org/project', 'master', 'C')
+        C.addPatchset(['conflict'])
+        B.addApproval('CRVW', 2)
+        C.addApproval('CRVW', 2)
+        self.fake_gerrit.addEvent(B.addApproval('APRV', 1))
+        self.fake_gerrit.addEvent(C.addApproval('APRV', 1))
+        self.waitUntilSettled()
+
+        self.assertEqual(6, len(self.history))  # A and B jobs
+        self.assertEqual(1, len(self.smtp_messages))
+        self.assertEqual('The merge failed! For more information...',
+                         self.smtp_messages[0]['body'])