The county council has said it is to consider the idea of becoming a unitary authority, as well as ways it could better work with district councils.

It has launched its review ahead of a Whitehall announcement on the future of local government due this summer.

Oxford City Council has already made it clear it wants to become a stand-alone unitary authority.

'Lack of clarity'

The government has asked councils which operate in a two-tier local government system - with county and district authorities - to decide whether the current structure delivers the best system.

Councillor Keith Mitchell, county council leader, said he was "concerned" about the possible impact of any reorganisation.

He said: "We are ready for all eventualities. We know that the city council wants unitary status.

"However we also know that there are good arguments for an enhanced two-tier system that is seamless to residents.

"Given the lack of clarity from government, we also need to examine the case for a unitary county council."

The city council has joined with councils in Exeter, Ipswich and Norwich in a campaign to take control of education, social services and trading standards from their county councils.

Their case is backed by a report commissioned by the councils and produced by Birmingham University's Institute of Local Government Studies.

The report says gaining unitary status would not cost extra and would in the long term save money.