The counties of Somerset and Wiltshire are on the government's list to become unitary authorities.
Despite protests from some groups within the existing council who thought this may lead to redundancies, plans are to go ahead.
This will mean all services in each area would be run by just one council.
There will now be a 12-week consultation period before a final decision is made by central government in Westminster.
A Somerset County Council spokesman admitted the plan could mean a total of 65 workers being made redundant.
Last November, a council meeting in Taunton passed a motion instructing officers to work on a bid to create a unitary council for Somerset.
Wiltshire County Council chief Jane Scott said replacing five councils with one would make sound financial sense.
"We know there is a lot of confusion over which organisation provides which service and people really deserve better than that," she said.