As a result Labour remains the biggest party on the authority, but it does not have enough seats for overall control and the authority is likely to remain governed by a Tory and Liberal Democrat coalition.

There was very little change in wards, with only one seat changing hands – Weetwood went from Conservative to Liberal Democrat.

The BNP put in a strong showing in Middleton Park and Ardsley and Robin Hood, finishing a close second in both. In Ardsley and Robin Hood, Labour's Karen Renshaw held her seat, beating the BNP's Joanna Beverley by 11 votes.

Leeds Central Labour MP Hilary Benn, who attended the count, said: "I am very pleased that here in Leeds we have retained all 43 seats on a difficult night for Labour."

The composition of the council is now Labour 43, Liberal Democrats 24, Conservatives 22, Morley Borough Independent 5, Green Party 3, Independent 1, BNP 1. Turnout was 35.76 per cent compared to 37.52 per cent in 2007.

Coun Andrew Carter, leader of the Conservative group, said: "We had a set of great results. For the first time in years we have the largest share of votes in Leeds."

He said he would meet the Liberal Democrat group next week.. Coun Carter said he saw no reason why the coalition would not continue.

The total percentage of votes by party was Conservative 31.41 per cent, Labour 28.67 per cent, Liberal Democrat 18.89 per cent, BNP 11.35 per cent, Green 3.72, Morley Borough Independents 3.19 per cent, Alliance for Green Socialism 0.97 per cent, UK Independent Party 0.9 per cent, Independent 0.77per cent and English Democrats 'Putting England First' 0.14 per cent.

Richard Brett, Liberal Democrat group leader, said: "I believe these results clearly show that the Liberal Democrats in Leeds are a force to be reckoned with. We are the only party to have made a gain in these elections.

"We now have a strong presence in many parts of the city, with our majorities also increasing in areas like Horsforth, Moortown and Rothwell. I am very confident that we can continue an administration that has served Leeds well for the last four years."