Plymouth City Council and Torbay Council are considering joining forces to deliver planning services.
If approved, the two councils would share functions such as planning compliance, major development and housing delivery.
Last year, Plymouth was invited to review Torbay's spatial planning functions and made a number of recommendations to improve the service.
Deputy leader of Plymouth, Patrick Nicholson, said: ‘We were asked to carry out a review to help Torbay get a clear picture of the improvements they need to make and are now being asked to work more closely with them so that these changes can be made at pace.'
Executive lead for planning at Torbay,Cllr Derek Mills, added: ‘Planning has always been much wider than the boundaries of one authority.
'All authorities are working more closely together to deliver housing and vital infrastructure designed to encourage economic growth and prosperity for our residents and businesses.'