Issue - meetings

A report from the Executive Director – Resources is attached.  (Key Decision – reference no 5678)

Cllr Tim Leaver (Cabinet Member for Finance and Procurement) introduced the report of the Executive Director – Resources, providing an update on the 2023/24 capital programme. The forecast variances to budget by department was set out in Table 1 in the report. The capital programme was assessed to ensure best value for Enfield residents.

In respect of Environment & Communities’ capital spend, Cllr Jewell recorded congratulations on behalf of the Administration to the Watercourses Team for winning the global Ashden Award for the previous evening, for the work in creating nature based solutions to address flood risk and improve water quality in Enfield.

Cllr Anyanwu advised on the expressions of interest received in respect of parks’ cafes and toilets, and officers were progressing these.

DECISION:  The Cabinet agreed to:

I. Recommend that Council approves

a. The removal of £71.1m budget from the 2023/24 programme, (of which £34.6m was due to be funded by borrowing) (as detailed in Appendix C of the report). This includes projects moved to pipeline.

b. The reprofiling of £71.3m budget (including £13.1m for the HRA) from 2023/24 to 2024/25 (as detailed in Appendix B of the report).

c. The addition of £17.4m budget as detailed in Appendix D of the report.

II. Note:

a. Full year capital spend of £283.1m is forecast for 2023/24, including £129.9m for the Housing Revenue Account (HRA).

b. A £33.7m reduction in the general fund borrowing requirement (and an increase of £10m in HRA borrowing).

c. Capital expenditure to Period 5 (31 August) is £42.6m, which is 15.0% of full year forecast.

d. The largest variances in spend to forecast relate to Meridian Water and Companies loan drawdowns.

e. Borrowing funded underspends at year end will not be automatically carried forward into 2024/25.

f. A separate Companies report will be presented to November Cabinet.

The report sets out the options considered, if any, and the reasons for the recommendations and the decision.

(Non Key)

Report from the Executive Director – Resources.  (Key decision – reference number 5653)

Cllr Tim Leaver (Cabinet Member for Finance and Procurement) introduced the report of the Executive Director – Resources, providing an update on 2022/23 General Fund capital expenditure, and a brief overview of the 2023/24 capital programme and development of the Council’s 2024/25 Capital Strategy. Details were provided in respect of the capital spend for 2022/23 that was less than budget, and reflected the Council’s prudent approach.

DECISION:  The Cabinet agreed to:

I.  Recommend that Council approves

a.  The carry forward of £10.2m unspent budgets from 2022/23 to future years, including 2023/24 (Appendix B), of which £2.2m is to be funded by borrowing.

II.  Cabinet agreed to note:

a.  Total 2022/23 capital expenditure of £213.3m, against original budget of £486.4m and Period 8 (November) forecast of £262.7m.

b.  Less than half of the 2022/23 capital expenditure was funded by borrowing (£102.5m borrowing out of £213.3m capital expenditure), as detailed in Table 2

c.  An overall net budget reduction of £78.3m in 2022/23 (Appendix D and E)

d.  A reduction of £0.7m in the 2023/24 budgets, due to accelerated spend in the 2022/23 (Appendix B).

e.  The 2023/24 capital programme position at Period 3, as detailed in paragraphs 79-87.

f.  The overall capital programme is being reviewed as part of the development of the 2024/25 Capital Strategy. This will be presented to October Cabinet.

The report sets out the options considered, if any, and the reasons for the recommendations and the decision.

(Key decision – reference number 5653)