JOBS could be lost at two councils in Oxfordshire proposing to merge back-office departments with three other local authorities.

Capita PLC told investors this week it had been recommended as a preferred partner for a new venture between South Oxfordshire and Vale of White Horse district councils with Hart District Council, Havant Borough Council and Mendip District Council.

The company, along with Vinci, would handle back-office functions such as HR, IT, finance, property, facilities management, parking and procurement. 

Council staff were informed of the proposals on Tuesday, Capita said. 

A spokesman for South and Vale said this afternoon: "The savings achieved through any outsourcing are dependent upon the number of councils agreeing to award the contracts.

"As well as saving millions of pounds, the move would also improve services for residents.

"This is likely to mean some jobs will become joint across all the councils and some positions could be relocated to other centres operated by the successful bidders."

The cabinets of both councils will consider the plan on January 28.

It will also require the approval of the other councils, with Havant the last to meet on February 3.