Construction work on more than 100 homes could begin soon, despite locals saying it would create "nothing but mayhem".
Developer Boklok Housing Ltd got permission to build 110 properties between homes in Lakeside and Walrow Ponds, in Highbridge, in December 2022.
Somerset Council has now approved a drainage scheme, which was the final stage of the application and means construction can begin.
However, residents of Lakeside told the council's planning committee the development would have a "dangerous" impact on traffic. The council said it was "aware" of residents' concerns.
Geraldine Stevens, who lives on Lakeside, accused the council of being "underhanded" at a meeting on 8 April, claiming "the views of local people had been ignored" throughout the entire planning process.
"If you had all gone and had a look before deciding, you would see for yourself that it is dangerous," Ms Stevens told the committee.
"This is the most ridiculous spot to build houses – this is going to be nothing but mayhem. Start thinking about your local people rather than money."