Keir Starmer's Resignation: The Energy Crisis and Trump's Foresight
UK Prime Minister Keir Starmer announced his resignation on Monday, stepping down as head of government and leader of the Labour Party. This decision became an inevitable finale amid growing domestic protests and a crushing defeat in the May local elections. Starmer will remain as interim prime minister until a new party leader is elected.
Trump Predicted the Outcome
Notably, Donald Trump publicly predicted this move a day before the official announcement. In his post on Truth Social, he criticized Starmer for failures in migration and energy policy, calling on the UK to resume oil drilling in the North Sea. Despite the lack of direct communication between the leaders, Trump's forecast proved accurate.
The Labour Collapse: From Triumph to Decline
Starmer's resignation drew a line under his political career, which began with a resounding Labour victory in the 2024 elections. However, this was followed by disaster: the party lost over 1,000 seats in municipal councils in the May elections. About 100 Labour MPs officially demanded Starmer step down. Tensions were exacerbated by discussions on reforming the social support system and the appointment of Peter Mandelson as ambassador to the US, which drew sharp criticism due to his ties to Jeffrey Epstein.
The Energy Time Bomb
Starmer's key mistake was the ban on issuing new licenses for oil and gas drilling in the North Sea in November 2025. This decision, positioned as a step toward "green" energy, left the country vulnerable to commodity price spikes. The Iran-US conflict, which began in early 2026, drove the price of Brent crude from $73 to nearly $114 per barrel. Regulator Ofgem has already announced a 13% increase in household bills from July: the average annual payment will rise from £1,641 to £1,862.
A study by the University of Oxford (Smith School) showed that even full-scale drilling in the North Sea would reduce bills by only £16–82 per year, as global oil prices are dictated by international factors rather than local production. Nevertheless, the political damage from this decision proved catastrophic.
New Leader and the Crypto Vector
The main contender for the Labour leadership is Andy Burnham, who won the by-election in Makerfield with 54.8% of the vote. Burnham openly supports the development of digital assets and has previously stated his intention to make Manchester a hub for the crypto industry. His stance sharply contrasts with the party's current course, which imposed a moratorium on cryptocurrency donations to political parties in March 2026. If Burnham wins, British voters interested in cryptocurrencies can expect a change in direction.
Cryptalist Analysis: Starmer's resignation is not just a change of leadership but a symptom of a deep crisis in traditional energy policy. Prediction markets have already sharply increased Burnham's odds, and his pro-crypto stance could become a major driver for the UK's digital asset market. However, the oil shock will be the first serious economic test for the new leader, regardless of their views on Web3.