Property professionals have begun responding to Sir Keir Starmer’s announcement that he will step down as prime minister and Labour Party leader, with industry figures calling for political stability and continued progress on housing reform.
The resignation, which comes amid mounting pressure within the Labour Party, has prompted questions about the future direction of government housing policy, including planning reform, housebuilding targets and measures aimed at improving affordability.
Estate agents, developers and property organisations have urged whoever succeeds Starmer to maintain momentum on key housing initiatives and provide certainty for consumers and businesses operating in the market.
Industry reaction:
Becky Fatemi, executive partner at United Kingdom Sotheby’s International Realty: “Starmer’s departure creates a fresh layer of uncertainty for the property market. Buyers and investors can cope with almost anything if they know what they’re dealing with. What they dislike is uncertainty.
“Whether Labour opts for a leadership contest or Andy Burnham is effectively crowned as Starmer’s successor, the market will immediately start assessing what it means for wealth, property and investment. We saw this ahead of last year’s Budget, when transactions slowed and many buyers chose to wait for clarity.
“A prolonged contest risks putting the market into a holding pattern once again. At the top end, where purchases are often discretionary, confidence is everything.
“There is also the prospect of a double whammy: uncertainty over future policy, followed by concern about the policies themselves. If Burnham becomes Prime Minister, many buyers will question what his long-standing support for property tax reform means for higher-value homes. The concern is simple: higher costs make the UK less competitive, reducing investment and encouraging globally mobile wealth to look elsewhere.”
Jamie Freeman, director at Haringtons UK: “Buyers, sellers and investors simply want to know where they stand, what the rules are and what the likely direction of travel is over the next few years. The risk with the Labour leadership change is not necessarily who replaces Keir Starmer, but the possibility of a prolonged period of political limbo while different candidates position themselves with increasingly headline-grabbing policy ideas around wealth, taxation and property.
The market has already spent the better part of two years in a holding pattern because of elections, budgets, policy leaks and constant speculation. Every time confidence starts to return and people feel there is finally a clear runway ahead, something else arrives to create hesitation again.
Property decisions, particularly at the upper end of the market, are often delayed simply because buyers become nervous about making long-term commitments during periods of political instability. If a leadership contest drags on for months, there is a genuine risk that 2026 becomes yet another year where the market is waiting for clarity rather than moving forward.”
Adam Feather, managing director, Robert Anthony Estate Agents: “The housing market tends to respond best to stability and clear policy direction. As attention turns to Labour’s leadership contest, it is important that housing remains high on the political agenda. The industry will be looking to the next Prime Minister to provide certainty around planning reform, housebuilding and support for homeownership, all of which are critical to maintaining market confidence and increasing housing supply.”
This article is being updated.
EYE NEWSFLASH! Prime minister Sir Keir Starmer resigns as leader of the Labour Party
Read the orginal article: https://propertyindustryeye.com/eye-news-update-property-industry-reacts-to-keir-starmers-resignation-as-prime-minister/
