Twelve councils have published their joint proposal for local government reorganisation in Hampshire and on the Isle of Wight.

They claim their plans to create four new unitary councils in Hampshire to replace the existing 14 councils - with the Isle of Wight remaining an independent unitary island council - would save at least £63.9 million per year.

The government wants to replace the current system of councils - comprising Hampshire County Council, 11 district and borough councils and three unitary councils - with new unitary councils, each covering a population of approximately 500,000, that would be responsible for all services in their areas.

The proposal to government - entitled Close enough to be local, big enough to stay strong - is the joint work of Basingstoke and Deane Borough Council, Eastleigh Borough Council, Fareham Borough Council, Hart District Council, Havant Borough Council, Isle of Wight Council, New Forest District Council, Portsmouth City Council, Rushmoor Borough Council, Southampton City Council, Test Valley Borough Council and Winchester City Council.

It proposes three different options for four new unitary councils in Hampshire, at an average population size of 500,000, grouped around the major population centres of Portsmouth, Southampton, Winchester and Basingstoke. The current Isle of Wight unitary authority would remain as it is.

East Hampshire District Council and Hampshire County Council are working on their own joint proposal. Gosport Borough Council has refused to participate in the process.

The 12 councils believe their proposal will be better for driving economic growth, delivering redesigned public services tailored to local needs and empowering communities by enabling residents to shape local decisions.

They believe it is also the best way to unlock and maximise devolution arrangements, envisaging four new councils working effectively with the Isle of Wight Council and a new elected mayor for the whole region.

In a joint statement, the 12 councils said: “Unlike other proposals, we believe our approach means the best of both worlds: councils that are big enough to deliver major services and be financially sustainable, but local enough to understand communities so they can tailor services more closely to their needs.

“This is a comprehensive and evidence-based proposal that offers a bold vision for the future of local government in our region, ensuring every voice is heard and every service delivers real value.

“Covering the population of around two million people in mainland Hampshire, four new unitary councils would provide the scale of efficiency the government wants while still being connected to the communities they serve.

“The Isle of Wight’s continued independence is essential, given its unique geography and infrastructure needs. However, the proposal ensures integration and collaboration where beneficial, enabling shared innovation and transformation across the region.”

At meetings between now and the deadline for submission of proposals to the government on September 26, each of the 12 councils will formally consider approving the joint proposal.