A group of residents living in an illegal housing estate on the New South Wales south coast claim to have seceded from the state.

People living at the Jerberra Estate, near Jervis Bay, have joined the Free State of Australia in a bid to stop their eviction.

They have been fighting a long battle with the Shoalhaven Council over their homes, which were built without approved land zoning.

The residents believe the Shoalhaven Council does not hold the authority over them to declare their homes illegal and try to remove them from their land through the courts.

The Free State of Australia was formed in August last year, its spokesman elder John says its citizens are expecting to go to the High Court of Australia to have their jurisdiction recognised.

"Look it is a legitimate state, it is a state created under the Constitution," he said.

"It is a totally separate identity from New South Wales, or Victoria or Queensland.

"It is a religious state within the Commonwealth. It is a matter to be challenged in the High Court."

Shoalhaven Council says it will not comment on the case because it is before the Land and Environment Court.