The watchdog said the youth service provided an "excellent curriculum and resources". Standards of young people's achievements and the quality of youth work were also rated as "good" and "outstanding".
Inspectors found young people are involved effectively in the planning and development of the service and are influential at all levels. Examples include young people's involvement on a committee to evaluate youth provision for those with learning difficulties or disabilities.
Kath Tunstall, the council's strategic director for children and young people's services, said: "I am absolutely delighted for the young people and all the staff and volunteers in the service. To be judged so highly by Ofsted is praise indeed."
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