A $C^*$-convergence algorithm for finite element analysis has been proposed by Bigdeli and Kelly (1997) and elements for the first three levels applied to planar elasticity have been defined. The fourth level element for the new family is described in this paper and the rate of convergence for the $C^*$-convergence algorithm is investigated numerically. The new family adds derivatives of displacements as nodal variables and the number of nodes and elements can therefore be kept constant during refinement. A problem exists on interfaces where the derivatives are required to be discontinuous. This problem is addressed for curved boundaries and a procedure is suggested to resolve the excessive interelement continuity which occurs.