Torbay Council members have given the green light to the creation of a new Devon and Torbay Combined County Authority (CCA).
Councillors from Devon County Council voted in favour of the devolution deal on Tuesday.
The devolution bid will now be submitted to the Department for Levelling up, Housing and Communities for consideration.
If it is successful, the CCA will receive £14.8m from the Shared Prosperity Fund over three years and £16m in new capital funding to support housing and net zero priorities.