What does a new Prime Minister mean for landlords?

Following Sir Keir Starmer's expected resignation on Monday 22nd June, both the UK government and Labour Party are expecting a new leader within a matter of weeks. 

A change in leadership could have significant ramifications on many areas of the UK economy, including the private rented sector (PRS).

Mayor, "King", future Prime Minister?

Former Mayor of Greater Manchester Andy Burnham — popularly nicknamed the "King of the North" — is currently viewed as the frontrunner for the role of Prime Minister.

Barnham himself had to resign from his position of mayor in order to be sworn in as MP for Makerfield, which makes him eligible to enter the leadership race. 

Other Labour MPs are reportedly considering a leadership contest, but after former Health Secretary Wes Streeting dropped out of the leadership race in favour of supporting Burnham, the latter's victory is widely seen as the likeliest outcome. 

At this stage, there is no indication that existing private rented sector reforms, including the Renters’ Rights Act, will be reversed or paused. Starmer will remain in office until a new leader steps up, and he will still attend his regularly scheduled audience with King Charles. 

However, Burnham’s record as Mayor of Greater Manchester gives some clues about the housing themes he may prioritise.

A strong focus on housebuilding

During his time as Mayor of Greater Manchester, Burnham made housing delivery a top priority.

In May 2024, he pledged to deliver 10,000 new council homes by 2028. Two months later, Greater Manchester also set out plans to support 75,000 new homes over five years, including affordable and net-zero homes.

For landlords and property investors, this suggests a continued focus on increasing housing supply, regeneration and local development.

However, more housebuilding does not automatically mean a more favourable environment for private landlords. Much will depend on how any national policy balances new supply, tenant protections and private investment.

The Good Landlord Charter

Burnham also launched the Greater Manchester Good Landlord Charter, a voluntary scheme designed to raise standards across the private and social rented sectors.

The scheme includes areas such as property condition, affordability, tenant communication and energy efficiency.

For landlords, this is worth noting because it shows Burnham has previously favoured higher standards in the rental market, while also trying to create a framework that recognises landlords who go beyond minimum requirements.

Energy efficiency and net zero

Greater Manchester has also set a target to become a net-zero city region by 2038.

Housing and retrofit have formed part of that agenda, with work around low-carbon homes, energy efficiency and property improvement.

This could mean EPC standards, retrofit funding and green housing policy remain important areas to watch if Burnham becomes Prime Minister.

Property tax could become a bigger talking point

Burnham has previously argued for reforming the way property and land are taxed, including changes to council tax and stamp duty.

At this stage, there is no confirmed national policy change. However, for landlords, it is another reason to keep an eye on future tax announcements, particularly if they are planning purchases, disposals or wider portfolio restructuring.

What does this mean now?

For landlords, the practical focus should remain on existing legislation, portfolio planning, finance arrangements and property standards.

If Burnham’s mayoral record is any indication, housing supply, rental standards and energy efficiency may remain high on the agenda.

Labour leadership nominations are expected to open on 9 July and close on 16 July. If no other candidate secures enough support to challenge him, Andy Burnham could become Prime Minister by 17 July.

If there is a contest, the process could take longer, meaning landlords may need to wait several weeks before the direction of any new housing policy becomes clearer.

Speak to a specialist buy to let advisor

A change in Prime Minister may create uncertainty, but policy change usually takes time.

If you are reviewing an upcoming remortgage, considering releasing equity, or planning your next investment, we can help you understand the finance options available.

Contact one of our advisors today to discuss your circumstances.