90+ Labour MPs Call for Starmer to Resign; Markets Shift

More than 90 Labour MPs have publicly called for Prime Minister Keir Starmer to resign following heavy losses in recent local elections. Several junior ministers resigned after the results. The number of MPs pressing for his departure has reached the threshold that can trigger a leadership contest.

Prediction markets moved sharply over a 24-hour period. The contract on “Starmer out by June 30, 2026?” fell to 32.5% from 70% the previous day. The contract on “Starmer out by December 31, 2026?” dropped to 63.5% from 82% in the same period.

Traders attributed the short-term decline to doubts about whether the party has an agreed alternative leader and uncertainty over how quickly an internal contest could be organized. Market participants also factored in the resignations and the public calls for Starmer to step down.

Starmer is due to meet Health Secretary Wes Streeting in a discussion described by party officials as high-stakes for the leadership line-up. Observers will watch the meeting for signs of whether influential figures will rally behind a challenger.

MPs who have demanded Starmer’s resignation cited the local election defeats and recent operational decisions within government. Media coverage and competing factions within the parliamentary party have increased pressure on the prime minister ahead of the King’s Speech.

Developments that could affect party dynamics and market pricing include the outcome of the Starmer-Streeting meeting, any further ministerial resignations, formal leadership nominations or a no-confidence motion, and new public opinion polls.

Starmer has defended his record since taking office, arguing Labour needs stability to deliver its legislative agenda.