Liz Truss’ resignation as prime minister has been welcomed by those within the mortgage sector with Staton Mortgages director Mike Staton suggesting she only made one correct decision during her time “and she made that today by handing in her resignation”.

Truss addressed the country outside Downing Street just after 1:30pm today. In the announcement, she said: “I recognise though, given the situation, I cannot deliver the mandate on which I was elected by the Conservative Party. I have therefore spoken to His Majesty the King to notify him that I am resigning as leader of the Conservative Party.”

When the Bank Says No managing director Emma Jones says: “We desperately need stability and it’s nowhere to be seen.”

“This country needs a prime minister who has the integrity and the ability to put their own ego aside and do what is right for the UK economy. We need mortgage fixed rates to reduce, to allow people in more complex lending situations to afford their payments.”

Earlier today, Truss stated: “This morning I met the chairman of the 1922 Committee, Sir Graham Brady. We’ve agreed that there will be a leadership election to be completed within the next week.”

“This will ensure that we remain on a path to deliver our fiscal plans and maintain our country’s economic stability and national security,” she added.

Truss, who has spent just 44 days in office, says she will remain prime minister until a successor has been chosen.

CBI director general Tony Danker comments: “The politics of recent weeks have undermined the confidence of people, businesses, markets and global investors in Britain. That must now come to an end if we are to avoid yet more harm to households and firms. 

“Stability is key. The next prime minister will need to act to restore confidence from day one.  

“They will need to deliver a credible fiscal plan for the medium term as soon as possible, and a plan for the long-term growth of our economy.” 

R3 Mortgages director Riz Malik says the markets “should react positively, which may influence the Monetary Policy Committee (MPC) for their next base rate decision”.

The next MPC meeting is scheduled for 3 November. 

But, Malik says: “Halloween will be the next key date, especially if the next prime minister is installed by then. I am not expecting to see lenders start cutting their rates until sanity has been restored in Westminster.”

Last week, Truss sacked Kwasi Kwarteng as chancellor after 38 days in the position and replaced him with former health secretary Jeremy Hunt.

Following the Kwarteng’s sacking, the new chancellor Hunt confirmed the reversal of nearly every tax cut announced in the September mini-budget. However, the stamp duty cut for house purchases remained.

On 10 October, the government confirmed it would publish its spending plan and the Office for Budget Responsibility (OBR) forecast for the economy on 31 October.

The medium-term fiscal plan and the OBR forecast were initially scheduled for 23 November.

Also commenting on today’s news, HYCM chief market analyst Giles Coghlan says: “After just 44 days in office, it appears that the markets and a party in open revolt have sealed Liz Truss’s fate.”

“Although Truss was brought in to usher in an era of growth and ‘trickle-down economics’, her strong pro-growth policy was poorly timed, sending the UK bond markets into a sharp sell off as her policies fanned the flames of surging inflation.”

“To fend off instability, the Bank of England has even intervened in gilt markets, and it remains to be seen whether the central bank will now hike interest rates more quickly.”

“With all that in mind, Truss’s departure is likely to be mildly GBP positive, depending on her successor for the premiership. Already, the UK gilt market was supported as rumours of the prime minister’s resignation came to light this morning, which is a good sign for the pound’s stability.”