Quite similar to #3050 the problem is not resolved for me though

I have the same problem, my players have over 1000 entities even though the cap is 75 for me.
paper 1.20.2

Villagers don't really count as mobs or animals in plotsquared. You could implement a third party flag for villagers for your own or suggest the flag as a feature. I've seen this happening with villagers for like 3 years on different servers.

Actually the villagers are counted as cap type mobs and animals. On a single plot they will get counted correctly and therefore reach the cap and stop spawning from there on. On a merged plot though this is not the case. They will surpass the mobs cap on a merged plot.

The problem here is that the caps constantly reset as soon as an entity crosses a merged plot.
The entity count meta is reset every time during the transition, and this then calculates that the plot has no mobs and therefore the calculation is done again from the beginning every time.

Problem is caused by the same issue as it was described in #4338. Though i don't know why this one was accepted and the other marked as invalid.