"Councils in the area have until September to submit their proposals for what the future unitary authority could look like.
Steve Siddons, Leader of Scarborough Borough Council, said: "We would support that. I would certainly support that and I think that makes far more sense than the complex system that we have in place. The services would still be provided locally. It would bring more money into the local economy, it means that we'll have more control over economic regeneration, transport and over infrastructure."