diff --git a/.github/renovate.json5 b/.github/renovate.json5
index 4302654c87d..0d3b5bc214b 100644
--- a/.github/renovate.json5
+++ b/.github/renovate.json5
@@ -75,7 +75,19 @@
     },
     {
       "fileMatch": [
-        "^pre-gardener/addons/templates/velero.yaml$"
+        "^addons/addons/templates/dashboard.yaml$"
+      ],
+      "datasourceTemplate": "helm",
+      "registryUrlTemplate": "https://gardener-community.github.io/gardener-charts",
+      "versioningTemplate": "semver-coerced",
+      "matchStrings": [
+        // https://regex101.com/r/KY8baj/1
+        "chart: (?<depName>[a-z-]+)\n +version: (?<currentValue>[0-9.]+)"
+      ]
+    },
+    {
+      "fileMatch": [
+        "^addons/addons/templates/velero.yaml$"
       ],
       "datasourceTemplate": "helm",
       "registryUrlTemplate": "https://vmware-tanzu.github.io/helm-charts",
diff --git a/.yamllint.yml b/.yamllint.yml
index bae35dcd2b8..e2e77d6e706 100644
--- a/.yamllint.yml
+++ b/.yamllint.yml
@@ -17,7 +17,7 @@ ignore: |
   gardener/garden-content/templates/
   hack/ci/secrets/
   hack/ci/dev-env/config/charts
-  pre-gardener/addons/templates/
+  addons/addons/templates/
   configuration/configuration/templates/
   pre-gardener/dnsprovider/templates/
   configuration/generated-secrets/templates/
diff --git a/pre-gardener/addons.yaml b/addons/addons.yaml
similarity index 94%
rename from pre-gardener/addons.yaml
rename to addons/addons.yaml
index 387754df053..a471cab2b7e 100644
--- a/pre-gardener/addons.yaml
+++ b/addons/addons.yaml
@@ -13,7 +13,7 @@ spec:
   interval: 1m
   chart:
     spec:
-      chart: pre-gardener/addons
+      chart: addons/addons
       reconcileStrategy: Revision
       sourceRef:
         kind: GitRepository
diff --git a/pre-gardener/addons/Chart.yaml b/addons/addons/Chart.yaml
similarity index 87%
rename from pre-gardener/addons/Chart.yaml
rename to addons/addons/Chart.yaml
index d3c81023b6c..b34fa8b81ac 100644
--- a/pre-gardener/addons/Chart.yaml
+++ b/addons/addons/Chart.yaml
@@ -1,5 +1,5 @@
 apiVersion: v2
-name: extensions
+name: addons
 description: A Helm chart for addons to install with the pre-gardener ks
 
 type: application
diff --git a/gardener/dashboard.yaml b/addons/addons/templates/dashboard.yaml
similarity index 98%
rename from gardener/dashboard.yaml
rename to addons/addons/templates/dashboard.yaml
index 937f14c8f67..36f97030d26 100644
--- a/gardener/dashboard.yaml
+++ b/addons/addons/templates/dashboard.yaml
@@ -1,3 +1,4 @@
+{{- if .Values.dashboard.enabled }}
 apiVersion: helm.toolkit.fluxcd.io/v2beta1
 kind: HelmRelease
 metadata:
@@ -96,3 +97,4 @@ spec:
     - kind: Secret
       name: dashboard-values
       optional: true
+{{- end }}
diff --git a/pre-gardener/addons/templates/velero.yaml b/addons/addons/templates/velero.yaml
similarity index 100%
rename from pre-gardener/addons/templates/velero.yaml
rename to addons/addons/templates/velero.yaml
diff --git a/pre-gardener/addons/templates/vpa-v1-crd-gen.yaml b/addons/addons/templates/vpa-v1-crd-gen.yaml
similarity index 100%
rename from pre-gardener/addons/templates/vpa-v1-crd-gen.yaml
rename to addons/addons/templates/vpa-v1-crd-gen.yaml
diff --git a/addons/addons/tests/dashboard_test.yaml b/addons/addons/tests/dashboard_test.yaml
new file mode 100644
index 00000000000..97768242cf4
--- /dev/null
+++ b/addons/addons/tests/dashboard_test.yaml
@@ -0,0 +1,17 @@
+templates:
+  - dashboard.yaml
+tests:
+  - it: should create HelmRelease with default values
+    asserts:
+      - isKind:
+          of: HelmRelease
+        documentIndex: 0
+      - isKind:
+          of: HelmRelease
+        documentIndex: 1
+  - it: should create HelmRelease when dashboard is disabled
+    set:
+      dashboard.enabled: false
+    asserts:
+      - hasDocuments:
+          count: 0
diff --git a/pre-gardener/addons/tests/velero_test.yaml b/addons/addons/tests/velero_test.yaml
similarity index 100%
rename from pre-gardener/addons/tests/velero_test.yaml
rename to addons/addons/tests/velero_test.yaml
diff --git a/pre-gardener/addons/tests/vpa-v1-crd_test.yaml b/addons/addons/tests/vpa-v1-crd_test.yaml
similarity index 100%
rename from pre-gardener/addons/tests/vpa-v1-crd_test.yaml
rename to addons/addons/tests/vpa-v1-crd_test.yaml
diff --git a/pre-gardener/addons/values.yaml b/addons/addons/values.yaml
similarity index 64%
rename from pre-gardener/addons/values.yaml
rename to addons/addons/values.yaml
index 60704f53174..2a23a2a70b4 100644
--- a/pre-gardener/addons/values.yaml
+++ b/addons/addons/values.yaml
@@ -2,3 +2,5 @@ backups:
   enabled: false
 vpa:
   enabled: false
+dashboard:
+  enabled: true
diff --git a/addons/kustomization.yaml b/addons/kustomization.yaml
new file mode 100644
index 00000000000..99b431a8047
--- /dev/null
+++ b/addons/kustomization.yaml
@@ -0,0 +1,4 @@
+apiVersion: kustomize.config.k8s.io/v1beta1
+kind: Kustomization
+resources:
+  - addons.yaml
diff --git a/configuration/configuration/tests/dashboard_test.yaml b/configuration/configuration/tests/dashboard_test.yaml
index 43d99c0acfd..66905ceb5dd 100644
--- a/configuration/configuration/tests/dashboard_test.yaml
+++ b/configuration/configuration/tests/dashboard_test.yaml
@@ -20,7 +20,6 @@ tests:
                   hosts:
                   - dashboard.mydomain.example.org
                   annotations:
-                    kubernetes.io/ingress.class: nginx
                     cert.gardener.cloud/purpose: managed
                     cert.gardener.cloud/class: base-cert-class
                     dns.gardener.cloud/dnsnames: "*"
diff --git a/docs/release-notes/next.md b/docs/release-notes/next.md
index 3edaeaadc83..bd655b7fe98 100644
--- a/docs/release-notes/next.md
+++ b/docs/release-notes/next.md
@@ -5,6 +5,28 @@ hide_table_of_contents: true
 # Release Notes next
 
 ## 23KE release notes and upgrade guide
+- Before upgrade
+  - The addons chart was moved to the top-level directory and is managed by its own `Kustomization` now. Moreover, the gardener dashboard is now part of the addons chart allowing to switch it off when not needed. Therefore, you should
+  ```sh
+  flux suspend ks pre-gardener
+ kubectl label -n flux-system hr dashboard-runtime kustomize.toolkit.fluxcd.io/name-
+ kubectl label -n flux-system hr dashboard-runtime kustomize.toolkit.fluxcd.io/namespace-
+ kubectl label -n flux-system hr dashboard-runtime app.kubernetes.io/managed-by=Helm
+ kubectl annotate -n flux-system hr dashboard-runtime meta.helm.sh/release-name=addons
+ kubectl annotate -n flux-system hr dashboard-runtime meta.helm.sh/release-namespace=flux-system
+
+ kubectl label -n flux-system hr dashboard-application kustomize.toolkit.fluxcd.io/name-
+ kubectl label -n flux-system hr dashboard-application kustomize.toolkit.fluxcd.io/namespace-
+ kubectl label -n flux-system hr dashboard-application app.kubernetes.io/managed-by=Helm
+ kubectl annotate -n flux-system hr dashboard-application meta.helm.sh/release-name=addons
+ kubectl annotate -n flux-system hr dashboard-application meta.helm.sh/release-namespace=flux-system
+  ```
+
+- After upgrade
+  - Resume the pre-gardener `Kustomization` again
+  ```sh
+  flux resume ks pre-gardener
+  ```
 
 ## Related upstream release notes / changelogs
 
diff --git a/flux/addons.yaml b/flux/addons.yaml
new file mode 100644
index 00000000000..e82fedcf935
--- /dev/null
+++ b/flux/addons.yaml
@@ -0,0 +1,19 @@
+apiVersion: kustomize.toolkit.fluxcd.io/v1beta2
+kind: Kustomization
+metadata:
+  name: addons
+  namespace: flux-system
+spec:
+  interval: 1m
+  dependsOn:
+    - name: configuration
+  sourceRef:
+    kind: GitRepository
+    name: 23ke
+  path: ./addons
+  prune: true
+  healthChecks:
+    - apiVersion: helm.toolkit.fluxcd.io/v2beta1
+      kind: HelmRelease
+      name: addons
+      namespace: flux-system
diff --git a/flux/gardener.yaml b/flux/gardener.yaml
index 7f2d85cb9a2..2cb013271b9 100644
--- a/flux/gardener.yaml
+++ b/flux/gardener.yaml
@@ -6,7 +6,6 @@ metadata:
 spec:
   interval: 1m
   dependsOn:
-    - name: 23ke-env-config
     - name: pre-gardener
   sourceRef:
     kind: GitRepository
@@ -18,14 +17,6 @@ spec:
       kind: HelmRelease
       name: cloudprofiles
       namespace: flux-system
-    - apiVersion: helm.toolkit.fluxcd.io/v2beta1
-      kind: HelmRelease
-      name: dashboard-runtime
-      namespace: flux-system
-    - apiVersion: helm.toolkit.fluxcd.io/v2beta1
-      kind: HelmRelease
-      name: dashboard-application
-      namespace: flux-system
     - apiVersion: helm.toolkit.fluxcd.io/v2beta1
       kind: HelmRelease
       name: etcd
diff --git a/flux/pre-gardener.yaml b/flux/pre-gardener.yaml
index 5b62b9a74a2..167e9817d87 100644
--- a/flux/pre-gardener.yaml
+++ b/flux/pre-gardener.yaml
@@ -5,6 +5,8 @@ metadata:
   namespace: flux-system
 spec:
   interval: 1m
+  dependsOn:
+    - name: addons
   sourceRef:
     kind: GitRepository
     name: 23ke
diff --git a/gardener/kustomization.yaml b/gardener/kustomization.yaml
index 57738205c29..475ee1072ef 100644
--- a/gardener/kustomization.yaml
+++ b/gardener/kustomization.yaml
@@ -3,7 +3,6 @@ kind: Kustomization
 resources:
   - certificates.yaml
   - cloudprofiles.yaml
-  - dashboard.yaml
   - etcd.yaml
   - etcd-events.yaml
   - extensions.yaml
diff --git a/hack/release/make-tmp-release-dir.sh b/hack/release/make-tmp-release-dir.sh
index ede710b4812..0f4044697a7 100755
--- a/hack/release/make-tmp-release-dir.sh
+++ b/hack/release/make-tmp-release-dir.sh
@@ -15,6 +15,7 @@ cp -r 23kectl.yaml $tmpDir
 cp -r kustomization.yaml $tmpDir
 cp -r flux $tmpDir
 cp -r configuration $tmpDir
+cp -r addons $tmpDir
 cp -r pre-gardener $tmpDir
 cp -r flux-system $tmpDir
 cp -r gardener $tmpDir
@@ -24,7 +25,7 @@ cwd=$(pwd)
 cd $tmpDir
 
 # replace GitRepository with $sourceType in 23ke-directories
-for file in $(grep -lr GitRepository configuration pre-gardener gardener flux | sed 's/^\.\///'); do
+for file in $(grep -lr GitRepository configuration addons pre-gardener gardener flux | sed 's/^\.\///'); do
 		sed -i s/GitRepository/$sourceType/ $file
 done
 
@@ -36,7 +37,7 @@ for file in $(grep  --exclude=configuration.yaml \
 										--exclude=dnsprovider.yaml \
 										--exclude=issuer.yaml \
 										--exclude=certificates.yaml \
-										-lr "kind: HelmRelease" configuration pre-gardener gardener)
+										-lr "kind: HelmRelease" configuration addons pre-gardener gardener)
 do
 		# prepend helmcharts/ to chart:
 		sed -i -E "s/(chart: )(.+)/\1helmcharts\/\2/" $file
diff --git a/hack/run-helm-unittest.sh b/hack/run-helm-unittest.sh
index 6bc33ee7cfa..9428bc1461b 100755
--- a/hack/run-helm-unittest.sh
+++ b/hack/run-helm-unittest.sh
@@ -12,7 +12,7 @@ CONFIGVALUES="$($HELM template --kube-version 1.24.0 configuration/configuration
 
 $HELM unittest configuration/configuration
 
-for chart in pre-gardener/addons pre-gardener/dnsprovider pre-gardener/issuer gardener/certificates gardener/extensions gardener/garden-content; do
+for chart in addons/addons pre-gardener/dnsprovider pre-gardener/issuer gardener/certificates gardener/extensions gardener/garden-content; do
 
   CHARTNAME="$(basename $chart)"
   export CHARTNAME
diff --git a/kustomization.yaml b/kustomization.yaml
index 8e4ebdd341f..553e8637ea1 100644
--- a/kustomization.yaml
+++ b/kustomization.yaml
@@ -2,6 +2,7 @@ apiVersion: kustomize.config.k8s.io/v1beta1
 kind: Kustomization
 resources:
   - flux/configuration.yaml
+  - flux/addons.yaml
   - flux/pre-gardener.yaml
   - flux/gardener.yaml
   - flux/flux-system.yaml
diff --git a/pre-gardener/kustomization.yaml b/pre-gardener/kustomization.yaml
index dea77f1dae5..5c27a1e81a9 100644
--- a/pre-gardener/kustomization.yaml
+++ b/pre-gardener/kustomization.yaml
@@ -1,7 +1,6 @@
 apiVersion: kustomize.config.k8s.io/v1beta1
 kind: Kustomization
 resources:
-  - addons.yaml
   - cert-management.yaml
   - cert-manager.yaml
   - dnsprovider.yaml