Chamber calls for smooth handover after Starmer resignation to ensure stability for business

Business leaders in Greater Birmingham are calling for a “smooth transition of power” for Labour’s new leader to bring stability to business in the wake of Sir Keir Starmer’s resignation as PM.

Sir Keir Starmer announced his resignation yesterday outside Downing Street saying he will request the Labour Party's National Executive Committee that nominations for the new leader open on 9 July.

Commenting on the resignation, Greater Birmingham Chambers of Commerce CEO Henrietta Brealey (pictured) called on the new leader to put business at the heart of their future vision for the country to help grow the economy.

Ms Brealey said: “After six Prime Ministers in 10 years businesses urgently need stability and a government focused on boosting the economy and tackling barriers to growth.

“We urge the Labour Party to focus on a smooth transition of power to a new leader. Businesses create the jobs and growth that ultimately fund public services.

“They need to be at the heart of the new leader’s vision for the country, whoever they may be.”

In his resignation speech, Sir Keir said: “The question my party is asking now is whether I am best placed to lead us into the next general election. I have heard the answer of my parliamentary party to that question, and I accept that answer with good grace.

“Every decision I have taken has been about putting the country I love first. That is why I will resign as leader of the Labour Party.

“I have spoken to His Majesty The King to inform him of my decision. I will ask the National Executive Committee of the Labour Party to set out a timetable with nominations opening on the ninth of July, completed by the summer recess. This will ensure a new leader is in place before Parliament returns.

“I will remain in post as prime minister until the contest is complete, and I will do everything I can to ensure an orderly handover of power.

“I will also give my successor my full and unequivocal support to know that they will inherit a Britain that is far stronger and fairer than the one I inherited two years ago and prepared for the challenges ahead and better able to ensure the Labour Party secures a second term in office.

“When I leave the biggest job in the country, I shall spend more time on the most important job, being the best husband I can to my fantastic wife, who has been a rock by my side through good times and bad. And being the best dad I can to my beautiful children who are my pride and my joy.”

Meanwhile, Andy Burnham has confirmed that he will be in the race to replace Mr Starmer.

In a statement on social media, Mr Burnham said: "Keir has given huge service to our country and I want to thank him for his leadership and dedication during such a challenging period.

"His decision marks the beginning of a transition and it is important that this process is conducted in an orderly and responsible way. I will put myself forward as part of this process.

"The country expects stability, seriousness and a continued focus on the issues that matter most and that is what it will get. As we move forward, our priority must be to work together to get the country back to where we all want it to be.

"People want to see progress on economic growth, cost of living, public services, housing and opportunities for the next generation. Political change should never distract from the responsibility to improve people's lives.”

Andy is backed by Wes Streeting, the former UK health secretary who resigned following Labour’s poor performance in the 2026 local council elections.