Decision
Analysis
outcome: Recommendations were approved by the Cabinet.
summary: The decision involves approving new risk reserves targets, transferring funds to risk reserves, carrying forward unspent capital budget, approving a revised capital programme budget, delegating authority for adjustments to the final accounts, noting overspends and underspends, and funding demand-led overspends with sold assets.
topline: The Cabinet has decided to approve new risk reserves targets, transfer funds, carry forward unspent budget, and make adjustments to the capital programme budget.
reason_contentious: This decision may be contentious as it involves financial allocations and adjustments that could impact various services and stakeholders.
affected_stakeholders: ["Council members", "Executive Director of Resources", "Grant Thornton (external audit firm)", "General public"]
contentiousness_score: 6
political_party_relevance: There are no explicit mentions of political parties in the decision.
URL: https://governance.enfield.gov.uk/ieDecisionDetails.aspx?ID=372
Decision Maker: Cabinet
Outcome: Recommendations Approved
Is Key Decision?: Yes
Is Callable In?: Yes
Purpose: This report to Cabinet sets out the 2024/25 draft outturn position for Revenue, Capital, Housing Revenue Account (HRA) & Dedicated Schools Grant (DSG)
Content: DECISION: The Cabinet agreed to: I. Approve the new risk reserves targets as set out in paragraphs 37 to 41. II. Approve the £10.7m transfer to risk reserves if government approve the final plans to fund overspends by proceeds from sold assets, of which £1.5m to be transferred to the General Fund balance. III. Approve the carry forward of £34.0m unspent capital budget from 2024/25 to the 2025/26 capital programme, under authority delegated by Council (KD5769) (Appendix H). IV. Approve a revised 2025/26 capital programme budget of £521.6 m (Appendix J), including the transfer of net £1.9m from pipeline programme (Appendix K) under authority delegated by Council (KD5769). V. Delegate authority to the Executive Director of Resources (S151 Officer) to agree any required adjustments to the final position to be reflected in the 2024/25 Statement of Accounts that are planned for final publication in the autumn following the external audit by Grant Thornton. VI. Note an overall overspend of £6.1m after use of specific reserves (such as in Adult Social Care) and offsetting underspends in the General Fund. VII. Note the £20m of demand-led overspends will be funded by assets that have been sold in the last year (known as ‘Exceptional Financial Support’) if the government issues a final ‘capitalisation direction’. VIII. Note the progress of delivery in the 2024/25 savings programme (paragraph 45 to 49). IX. Note risk reserves of £12.6m compared to the Minimum Threshold Balances target of £43.3m before application of EFS; risk reserves of £32.6m after application of EFS. X. Note the in-year net overspend for Dedicated Schools Grant of £2.7, resulting in a cumulative deficit of £17.4m. XI. Note the capital expenditure during 2024/25 was £305.4m, consisting of £45.6m general fund core services, £78.1m Meridian Water, £17.8m loans to companies, £117.1m HRA and £46.8m on 10-year temporary accommodation leases. XII. Note the HRA outturn position shows an overspend of £3.5m spend against the approved budget, which will be funded from HRA reserves and which have been built up to enable a response to demand and cost pressures experienced in the year.
Date of Decision: June 11, 2025