The new chief executive of Bradford Council could command a salary of £200,000 in return for taking on the "ultimate challenge".

Senior politicians say they are prepared to pay the best to get the best in a now fiercely competitive market where exceptional men and women are head-hunted from the private and public sector to take local authorities to the top.

Salaries to the high-fliers are on the up because of the New Audit Commission Comprehensive Performance Assessments which put councils in national league tables for the first time.

High assessments are crucial to major cities like Bradford wanting to draw in investment and already in the process of driving home radical changes in housing and education.

Now Britain's fourth biggest metropolitan authority is advertising for a "special person" to replace top officer Ian Stewart who is leaving his £150,000 a year post to become chief executive to Cambridgeshire County Council next month.

Bradford Council was categorised as a good council in the CPA league table published recently.

The new top officer will head a staff of 23,000 and be responsible for a budget of about £500 million.

The salary scale of the chief executive, which will be advertised nationally from tomorrow, is negotiable up to £200,000 and has the support of senior politicians who say they accept Bradford is the "ultimate challenge in local government" and must not be sold short.

Council leader Councillor Margaret Eaton said today: "Bradford needs the best. Ian Stewart has done an excellent job for Bradford and we need someone to carry on the good work.

"If you look at the salaries for similar large cities you will see it is the going rate for the job. "It is from £170,000 and might not necessarily be £200,000. It has been driven up by the CPAs where excellent management is in great demand elsewhere. There has been considerable change in the market place."

Labour group leader Councillor Ian Greenwood said: "Clearly we are not going to sell the district short. We should pay the right salary for the job to get the best possible person." But he added he wanted to see a management re-structure.

Liberal Democrat leader Councillor Jeanette Sunderland said: "This is a big job, there is a lot of work still to do and we need to make it attractive to the right person. But we will consider very, very carefully all the applications."

Mr Stewart said the job package was designed to attract the best. "We need to step forward as opposed to twiddling our thumbs," he said.

The Council is telling applicants they must be "a special person" who can deliver Bradford's vision.

"In practical means you will demonstrate a strong track record in managing performance, leading change and delivering improved outcomes for the public", says the advertisement.

Lyn Homer, chief executive of Britain's biggest council Birmingham, commands a salary in a range that begins at £165,000. Glasgow's top officer earns about £140,000 and Hertfordshire's previous chief executive earned £186,000. It is now advertising for a new chief executive offering a salary on the same scale as Bradford's.

A professional advisor will help the Council's appointment team make the key decision after candidates have gone through stringent interviews. The shortlisted applicants will then face two days of tests and will have to give presentations.

The appointments panel will comprise of the leaders of the three main parties helped by a human resource specialist.