Work on a roundabout at the top of North Road is expected to start in the new year.
Plans to improve access to North Devon District Hospital (NDDH) have moved forward - with construction set to start next year.
The junction at the top of North Road serves the hospital and Westaway Plain, where more than 330 houses are set to be built.
At a North Devon Council meeting where councillors deferred permission for another 43 homes, Devon County Council’s transportation planning officer Matthew Collins gave an update on the proposed roundabout.
Mr Collins said: “We have taken possession of land and put fences up, we’ll be taking trees down shortly.
“Construction will start in January to avoid the holidays and is expected to last two to three months.
“We have discussed this with the hospital and the NHS and are making arrangements for traffic management.”
Local county councillor Brian Greenslade said the traffic problem in Pilton ‘needs addressing’.
He said: “There is an established traffic problem at the entrance to NDDH which needs addressing.
“This is before the impacts of the significant new housing developments planned for the area around the hospital and indeed further away on the south side of Ilfracombe.
“Without this investment in the roundabout traffic problems would become worse and worse and encourage more vehicles from the existing and planned developments in Pilton to try driving through the totally inadequate roads of Pilton such as Northfield Lane and Littabourne and the Rock.”