North-East councils have maintained their position as the best performing in the country based on how well they deliver local services.

The Audit Commission's newly published Comprehensive Performance Assessment, which is in its second year, revealed councils had made a slight improvement to their already high standards.

It rates the 150 top tier local authorities across England as either excellent, good, fair weak or poor and also on their ability to improve.

They also receive a score from one to four -- four being highest -- in seven key areas which are education, social care services, environment, leisure, benefits and housing and use of resources.

Seventy five per cent of councils in the north east are now rated good or excellent -- well above the national average of 55 per cent. Stockton on Tees Borough Council was the star performer and jumped up a performance category to excellent.

The commission said Stockton had demonstrated a significant improvement in local services over the last year and had a "confident grasp of its own agenda to meet the needs of the community".

Council leader Bob Gibson said: "This is a tremendous result which puts Stockton among the very best local authorities in the country."

Darlington is also rated as good again overall with inspectors praising improvements to benefits and provision for the environment.

The council had also done a lot to boost the local economy through investing in major developments.

Durham County Council was rated as being among the top ten service improvers although it also remained in the good overall category. The inspectors cited improvements in educational achievement and waste management.

The region's worst performing council was North Tyneside which failed to improve last year's rating of poor overall.

Redcar and Cleveland Council also only rated as fair overall.

Councillor Glyn Nightingale, cabinet member for corporate services, said: "Four years ago the council was in a terrible state and it had to improve.

"Improvements have accelerated since the May election this year we are now hopeful that we can achieve an excellent rating in the next two years."

Councils at Gateshead, Hartlepool and Sunderland all rated in the top category.

In North Yorkshire the county council went from fair to good and City of York Council remained at good.

Audit Commission chairman James Strachan said: "It is very encouraging that a cluster of first-rate councils is now established in the region and that should spur the others in the region to catch up.

"Local people can now make better informed decisions because they have an annually updated picture of their councils' performance." The worst performing councils face "hit squads" being sent in to make improvements, while the best have more freedom from Government controls.

*Full reports on individual councils are available at www.audit-commission.gov.uk