Warwickshire and Norfolk's youth services got significantly less funding than the national average. Both spent 0.9 per cent of the education budget in youth work compared with the national average of 1.3 per cent.
But the report added that Norfolk County Council had increased funding for the youth service during the past six years.
The services had many strengths, the inspectors said. They singled out Warwickshire's detached youth work and Norfolk's partnership work.
Norfolk was rated "good" overall, while inspectors rated Warwickshire as "adequate".
www.ofsted.gov.uk.
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