Agenda and draft minutes

Apologies for absence were received from Councillors Chinelo Anyanwu, Ayten Guzel, and Gina Needs.

The Leader of the Council, Councillor Ergin Erbil, welcomed everyone to the meeting and wished everyone a happy new year.

Members of the Cabinet are invited to identify any disclosable pecuniary, other pecuniary or non pecuniary interests relevant to items on the agenda.

There were no declarations of interest.

To note, that no requests for deputations have been received for presentation to this Cabinet meeting.

NOTED that no requests for deputations had been received for presentation to this Cabinet meeting.

To confirm the minutes of the previous Cabinet meeting held on 13 November 2024.

AGREED that the minutes of the previous meeting of the Cabinet held on 13 November 2024 be confirmed as a correct record.

A report from the Executive Director – Resources is attached.  (Non Key)

Cllr Ergin Erbil (Leader of the Council) introduced the report of the Chief Executive showing the Quarter 2 performance for 2024/25 (July – September 2024) and comparing it to the Council’s performance across the previous period for a series of Key Performance Indicators (KPIs). The addition of new indicators, and improvements in KPIs on or above target since the last quarter were highlighted. Particular attention was drawn to improvements in relation to recycling contamination rate, in total notifiable crime offences, and in year 6 pupils’ educational attainment.

In response to Members’ queries regarding challenging areas, it was noted that overall household waste recycling rates had plateaued, and that percentages of children classified as overweight or obese were higher than the London and the England average. Interventions to address these challenges were being put in place, including creation of a new Recycling Manager post, and increased healthy eating programmes and school streets.

DECISION:  The Cabinet agreed to note the progress being made against the key priority indicators for Enfield.

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

A report from the Executive Director – Resources is attached.  (Key Decision – reference number 5783)

Cllr Tim Leaver (Cabinet Member for Finance and Procurement) introduced the report of the Executive Director – Resources, providing an update on the Council’s five-year Medium Term Financial Plan and presenting the draft General Fund budget for 2025/26 and bringing forward a set of proposed new savings and income proposals. Members’ attention was drawn to the revised budget gap, and the intention to progress to a balanced budget. Assumptions were included in respect of the Autumn Statement and Local Government Policy statement. Implications of the Local Government Finance Statement were being worked through. A tranche of new savings were proposed in the report, and work on further new savings and income proposals would be undertaken between January and February. The update on reserves and financial resilience was highlighted. The report also set out the proposed increases to fees and charges across service departments.

In response to Members’ queries in relation to Government funding announcements and potential to help ease local authority pressures, it was confirmed that there would be a move to two-year settlement, and funding reform to be based on deprivation and need. Information on various grants was being announced and distributions were still to be confirmed.

DECISION:  The Cabinet agreed to:

I. Note the progress towards balancing the budget for 2025/26 through robust challenge to Council pressures and the identification of a further set of new savings and income proposals.

II. Agree in principle the proposed second tranche of savings and income generation proposals of £8.7m in 2025/26 put forward by departments as shown in Table 5. Further details of the indicative proposals are set out in Appendix 3(iii):

• £5.7m from service redesign, efficiencies, and demand management

• £3.0m from income generation.

III. Note that the Council’s Executive Directors have confirmed that these savings and income proposals, or suitable alternatives, will be deliverable for 2025/26.

IV. Note the details of national funding allocations announced in the Chancellor’s Autumn Statement, which was delivered on 30th October 2024 and the Local Government Policy statement on 28th November 2024.

V. Note that the provisional LGFS Settlement was announced on 18th December but at the time of writing this report Officers were still working through the implications for the MTFP and these will be incorporated in the final budget for 2025/26.

VI. Note that Enfield Council has expressed its interest to MHCLG to continue with the smaller Business Rate Pool of eight London boroughs for a further year into 2025/26.

VII. Note that the income and savings proposals set out in this report are being recommended for approval subject to consultation and assessment of the equality implications where relevant.

VIII. Note the overall forecast level of reserves over the medium term as set out in paragraphs 77 to 82 and that the S151 Officer will be required to make a statement in the final budget as to whether those reserves are adequate for the financial risks that the Council is facing.

IX. Note the proposed Fees and Charges (subject to Council  ...  view the full minutes text for item 6.

A report from the Executive Director – Resources is attached.  (Key Decision – reference number 5838)

Cllr Ergin Erbil (Leader of the Council) introduced the report of the Strategic Director of Housing and Regeneration, providing an update of the Housing Revenue Account (HRA) forecast outturn position for 2024/25 at Quarter 3, covering both revenue and capital expenditure associated with delivering the Council Housing service for the benefit of tenants and leaseholders. The report presented an overall positive position. Success in delivering significant improvements to housing stock, and enhancements to services including the roving security patrols were highlighted.

In response to Members’ queries, it was confirmed that details of the planned schedule for the roving security service was available to councillors, noting that the patrol was also reactive to ASB issues. Feedback on the service was positive and there were plans to expand it pending resident consultation and resource allocation.

DECISION:  The Cabinet agreed:

I. To note the quarter 3 forecast outturn position for 2024/25 for both revenue and capital

II. To recommend to Council to approve of the acceleration of the AHP approved capital budget of £34.6m to acquire 82 units at Ladderswood and 12 units at New Avenue, funded from GLA grant £20.3m and additional borrowing of £14.3m.

III. To note the enhancements that have been delivered including investment in existing homes, provision of new council homes and enhancements to services based on resident feedback.

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

A report from the Executive Director – Resources is attached.  (Non Key)

Cllr Tim Leaver (Cabinet Member for Finance and Procurement) introduced the report of the Executive Director – Resources, providing an update on capital programme spend to date at Quarter 3, over the eight months to 30 November 2024, and a final forecast of capital programme spend and financing for 2024/25. The investments in projects across the borough were highlighted. Proposed carry forward of unspent budget was sought, and transfer from the pipeline for additional work needed for the corporate condition programme. Attention was drawn to the capital financing sources, including capital grants, S106 contributions, capital receipts, earmarked reserves, and borrowing.

In response to Members’ queries regarding the areas of investment, it was confirmed that the priorities included Meridian Water, Joyce and Snells new homes, new mental health hub, Portcullis Lodge, and new children’s homes.

DECISION:  The Cabinet agreed:

I. To approve the inclusion of £43.1m unspent 2024/25 capital budget in the 2025/26 capital programme for February Council approval, funded £16.4m borrowing and £26.7m grants and other external contributions. All proposed unspent budget carry forward has been reviewed by EMT Budget.

II. To approve the transfer of £170k budget from the Pipeline to Approved 2024/25 capital programme for corporate condition programme minor capital works.

III. To note Quarter 3 spend to date of £127.7m, including £56.0m on Priority Projects. 34% of Priority Projects September budget has been spent to date. Significant spend is anticipated in Q4 for Meridian Water and the HRA Phase 4 Ladderswood programme.

IV. To note Quarter 3 full year forecast spend of £299.0m, funded from £139.5m capital grants, £4.6m S106 contributions and CIL, £30.6m capital receipts (including HRA Right to Buy receipts), £27.8m earmarked reserves and £96.5m borrowing.

V. To note management of key strategic capital & treasury risks by the Capital Finance Review Panel (CFRP), Meridian Water Executive Board and Executive Management Team Budget (EMTB)

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

A report from the Executive Director – Resources is attached.  (Non Key)

Cllr Tim Leaver (Cabinet Member for Finance and Procurement) introduced the report of the Executive Director - Resources reporting on the activities of the Council’s Treasury Management function over the eight months to 30 November 2024 and providing estimates for financial year 2024/25. Details of borrowing were highlighted, and that the level of debt remained in compliance with key prudential indicators. The projected underspend against budget was confirmed. The Council was managing debt to revenue very well.

Members’ comments regarding favourable rates for new loans were noted, and the Cabinet Member and officer team were thanked for their good management, and ensuring financial resilience.

DECISION:  The Cabinet agreed to note the borrowing and investments position as at 30 November 2024 and Quarter 3 (Q3) estimates for financial year 2024/25.

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

A report from the Executive Director – Resources is attached.  (Non Key)

(This item contains exempt information as defined in Paragraph 3 (information relating to the financial or business affairs of any particular person – including the authority holding that information) of Schedule 12A to the Local Government Act 1972, as amended).

See also Item 13 in Agenda – Part 2.

Cllr Tim Leaver (Cabinet Member for Finance and Procurement) introduced the report of the Executive Director – Resources, providing an update on the performance of Enfield Council Companies as at Quarter 2 (half year) of 2024/25 and provide an estimated outturn position for 2024/25. The success of Housing Gateway limited (HGL) was highlighted, in generating income and helping with the temporary accommodation crisis. The loan funding for Energetik was noted, and that work was ongoing with the company to review its business plan. Further financial information was provided to Members in the confidential appendix to the report.

In response to Members’ queries regarding Energetik and new business, it was confirmed there were opportunities for connections to homes, schools, other development areas, and commercial organisations.

DECISION:  The Cabinet agreed to note:

I. The 2024/25 forecast loan drawdown for each company.

II. The 2024/25 performance of each company at Quarter 2.

III. The current financial position of each company.

IV. HGL has implemented market rent levels on its owned portfolio and has taken transfer of a number of TA units, both as agreed as part of the agreed Business Strategy for the company. Solutions to address the changing nature of the cash flow position are being explored.

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

To note that the next meeting of the Cabinet is scheduled to take place on Wednesday 26 February 2025 at 7:00pm.

NOTED the next meeting of the Cabinet was scheduled to take place on Wednesday 26 February 2025 at 7:00pm.

A resolution was passed under Section 100(A) of the Local Government Act 1972 excluding the press and public from the meeting for the items of business listed on Part 2 of the agenda on the grounds that they involve the likely disclosure of exempt information as defined in those paragraphs of Part 1 of Schedule 12A to the Act (as amended by the Local Government (Access to Information) (Variation) Order 2006).

Part 2

A report from the Executive Director – Resources is attached.  (Non Key)

(This item contains exempt information as defined in Paragraph 3 (information relating to the financial or business affairs of any particular person – including the authority holding that information) of Schedule 12A to the Local Government Act 1972, as amended).

See also Item 10 in Agenda – Part 1.

Members noted the information in the restricted appendix to the report considered at Minute 10 above.