I coach a team of U8s and one player is having lots of success (more than the rest scoring 8-10 goals a game) and due to the clubs restrictions and his age (U8) he is unable to be moved up a year to gain that extra challenge.

The concerns for the parents are; will his development slow down? 

I have explained to the parents that success and confidence is very important at a young age and for Children to fall in love with the game. We are also setting him mini challenges in game situations- for example, can you get me two assists and score with your left foot. I want to do the best thing for the child and ensure he is in the right environment and continues to enjoy his football and also develop.

Does anyone have a similar challenge or have any other solutions they can recommend?

Are their advantages of moving him to a better team of individuals that are just as good where he will be challenged every week however he will not have as much success?