Local Authorities are the top level in defining the different areas within your authority. You might be a Local Authority, or you might have Local Authorities under your jurisdiction. Therefore, whether these records need to be defined in Ensemble, will depend on how your Service is set up.
How to add a Local Authority:
Go to Settings 🡪 Local Authorities (under Activity Section) and add a new record:
Fill in the name of the Local Authority and their number: what is the number used for?
Then save the record where it will appear in the list on the left-hand side of the screen: