Members of the industry have given their say on what the incoming Labour government means and what it may look like for the future of the market.

Commenting before the election, Andy Keehner, managing director of property finance at Finanze, said while Labour made ‘big promises on new development’, he was cautious towards a Starmer-led government’s emphasis on regulation, believing it may make large developments and renovations a less attractive investment.

Despite elections often bringing an element of uncertainty to the specialist finance market and the wider public, Paresh Raja, CEO at MFS, saw a Labour victory as an inevitability and, as he sees it, so did the rest of the sector.

“There are enough signs to suggest the market is ready for a post-election uptick in activity,” said Paresh.

“But, despite these reasons for optimism, there is clearly no room for complacency.

“Political and economic turbulence remains, so lenders have to focus on supporting brokers and borrowers as best they can.”

According to Brian West, head of sales and marketing at Saxon Trust, believes the new  labour government could well bring a mixed bag of positives and negatives.

He’s confident they will promote investment into housing and public infrastructure projects boosting both the residential and commercial property markets, particularly if accompanied by an improved help-to-buy scheme and other pro-active measures, but caveated this with some concerns:

“Many people will be worried what Labour will do with capital gains and other taxes, rent controls, and promised new tenant protections and, perhaps most importantly, how their new policies will impact interest rates”, said Brian.

Kevin Shaw, national sales managing director at Leaders Romans Group, also saw the Labour victory as an inevitability.

“Labour’s landslide election victory this morning came as no surprise and so we don’t anticipate shockwaves in the property market,” he stated.

“Historically, sales tended to slow when general elections were called and would pick up soon afterwards, but there’s little evidence of that: our applicant registration figures have risen quite considerably both on the previous half year and year-on-year.

“What we do expect is more certainty in the property market; we expect anyone who has delayed selling because of the general election to put their property on the market in advance of the summer holiday season and with a view to being established in a new home before Christmas.”

Despite some uncertainty around tax changes, Kevin’s outlook remains positive.

“The unknowns are potential changes to capital gains tax and inheritance tax which could have a direct bearing on the market.

“But fears of tax increases should provide an incentive for sales to take place sooner rather than later.

“It’s not typical for the property industry to welcome a more left-wing administration, but Keir Starmer’s team has gone to considerable lengths to win business support while also promising not to hike taxes, and so the sentiment here at LRG is a positive one and we look forward to our sales trajectory continuing upwards.”

Tomer Aboody, director of specialist lender MT Finance, said: “The new Chancellor is sure to have a full inbox, but a revamp of UK property legislation should be fairly close to the top.

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“Stamp duty is the most obvious starting point. We have long advocated for reform and reduction of the current system, while the Conservatives promised that they would permanently raise the threshold for first-time buyers to £425,000 if they won the election, I’d like to see Labour go further.

“Removing stamp duty for those who are downsizing would provide homeowners with an incentive to opt for smaller properties, while freeing up larger family homes — It could also help stimulate the property market.

"The crux of this issue though is that more homes are needed.

“All parties promised a substantial number of new properties but unfortunately most manifestos are broken a lot of the time, the fact that three of the biggest parties all prioritised this shows their commitment though and we hope Labour comes up with the goods.

“The Labour government has its work cut out. Buyers, sellers and lenders all need reassurance and stability alongside proactive policies, and I hope this is what we will receive from the new parliament.”

Ed Rimmer, CEO at Time Finance, stressed the importance of the new government supporting SMEs:

“The finance industry in recent times has been witness to a rumbling sense of apathy from SME owners, with many businesses either not knowing where to turn for finance or have been too cautious to explore their options.

“Today we hope to see many of these firms reevaluating their position and hitting the ground running with a newfound optimism to take their business forward.

A new Labour Government needs to keep the promises it has made to SMEs in their manifesto. From exposing late payers to unlocking the supply of finance for businesses looking to grow, it is vital for the new government to demonstrate their commitment to SMEs.

“When it comes to the economy, simply put, the country needs stability. Interest rates need to continue to fall further to unlock working capital for UK businesses and allow intermediaries and the wider finance market to bring solutions to businesses to help them achieve their goals, and though we have reached the target for inflation, our new Chancellor should focus on getting it below 2%.”

Ryan Etchells, CCO at Together, said: “Top of the agenda should be looking at boosting the UK’s housing stock, which has not kept pace with our increasing population to such a level in recent years that we are now in a deepening housing crisis.

“We want to see a radical overhaul of the broken planning system to speed up town hall decision-making by removing red tape and unlocking opportunities for developers.

“There needs to be real incentives for SME housebuilders to create quality, modern and affordable homes in the right places to boost local economies.

To Ryan, another area of concentration for the new government needs to be brownfield development, alongside redevelopment of derelict and abandoned properties.

 “The new Government needs to take bold measures to stimulate regeneration of empty and disused property, such as introducing tax breaks,” said Ryan.

“Overall, we need to see much greater collaboration between Local Authorities and developers to form a faster response to the ever-increasing demand.”

Ryan also went on to emphasise the need for further support for SME expansion plans as well as provide them with investment breaks and other benefits.