Issue - meetings

A report from the Executive Director of Resources is attached.  (Key decision – reference number 5484)

Cllr Tim Leaver (Cabinet Member for Finance and Procurement) introduced the report of the Executive Director Resources, setting the Revenue Budget and Council Tax for the 2023/24 financial year, and updating the Council’s Medium Term Financial Plan (MTFP) in the light of those decisions, and recommending approval by Council.

This was the first budget of the new administration, since May 2022, and reflected the manifesto priorities, and delivery of the new Council Plan. The benefits of having long-term plans were highlighted. The Council had a commitment to meet the needs of residents, including a Council Tax support scheme. Consultation in relation to setting the budget was also noted. It was confirmed that the comments of the Chief Finance Officer in respect of the robustness of the estimates and the adequacy of the proposed financial reserves were included in the report appendices. It was pleasing to present a robust budget in a challenging year.

Officers and Members were thanked for all their work on the budget.

DECISION:  The Cabinet agreed:

1.  To note:

i. The budget is in a balanced position for 2023/24, however, this is in part achieved by around £3.7m use of one-off funding sources (made up of benefit from the Business Rates Pool and a Collection Fund surplus on Council Tax).

ii. Increased Government funding of £12m for social care in 2023/24; £1.23m reduction in other core Government grant funding (excluding business rates).

iii. For business rates related funding - with 2023/24 being the first year of a new ratings valuation cycle, a reduction in Government top-up grant of £2.75m, coupled with an increase in locally generated and retained business rates income of £8.3m; an increase in business rates s31 grant funding of £4.53m (primarily inflation linked).

iv. Government funding assumptions continue to rely on Council Tax as a key source of funding for Adult Social Care through the Precept.

v. As was the case for 2022/23 Enfield will be joining a smaller pool of 8 authorities to pool business rates for 2023/24. The potential one-off benefits from the Pool are estimated at £1.5m which has been built into the MTFP position for 2023/24.

vi. The considerable impact that the current high inflation environment has had on the budget setting process for 2023/24, with an estimated pressure of £22m, around three times the amount that has been accounted for annually over the past decade.

2.  To agree:

i. With regard to the Revenue Budget for 2023/24 to recommend to Council to set the Council Tax Requirement for Enfield at £146.963m in 2023/24; and

ii. To recommend to Council to set the Council Tax at Band D for Enfield’s services for 2023/24 at £1,518.30, being a 2.99% general Council Tax increase and a 2.00% Adult Social Care Precept.

3.  To recommend to Council to agree the Medium Term Financial Plan, including:

i. The pressures set out in Appendix 1a totalling £45.926m in 2023/24, which include:

a. £6.827m for Demographic pressures within Adults and Children’s Social Care  ...  view the full minutes text for item 8