The council was given an excellent rating in a survey by the audit commission, based on evidence of quality of services, use of resources and capacity to improve.

The commission praised Cheshire for strong performances in education, culture and social services, for involving the community in consultations and for the way in which good relationships are maintained between elected councillors and officers.

And the outcome of the survey - which audited 150 local authorities countrywide - means that the council will have greater freedom from Government control and regulations in the future.

Crucial

Confirmation of its excellence comes at a crucial time for the county council, with the prospect of a referendum for an elected North West Regional Assembly a real possibility in the New Year.

The creation of an assembly would almost definitely see the abolishment of the county council, with existing district councils like Vale Royal Borough Council being transformed or amalgamated into larger unitary authorities.

Paul Findlow, leader of the county council, said: "During much of its 113 year history, this county council has been considered one of the best among both local people and national organisations and I am delighted with this independent judgement of our standing.

"But I must beg the question of what would be gained if there was to be abolition and an elected regional assembly created, particularly given the paucity of excellent local authorities in the region?"

However, the council has accepted audit findings that it can improve in some areas.

These include the need to repair Cheshire's deteriorating road network, and providing more resources to schools for pupils with special needs or those that have been excluded.

Celebration after county shows its class