Victorian Premier Jacinta Allan has resigned after losing the support of the Labor party room, stepping down just hours before an expected leadership challenge.

“After speaking with my colleagues overnight, I have made the difficult decision to step aside as leader of the Victorian state Parliamentary Labor Party, and as premier of Victoria,” Allan told reporters in a press conference on Tuesday.

Her resignation came after a delegation of Labor MPs and key factional leaders reportedly met with Allan on Monday morning to demand her to stand down after losing the support of the party room.

According to reports, several cabinet ministers were among those who attended the meeting.

Allan said she believed she could have won a leadership ballot, but decided not to force a contest so close to the state election in November.

“I am making this decision because it’s the right thing by the Labor Party, and by the Victorian people,” she said.

“I was prepared to put my record and my plan to a ballot of members… I believe I would have won. But doing so this close to an election takes up valuable resources, including the most precious of one – time.

“More importantly, it puts the state in a position of uncertainty. That hurts the Victorian people, and I just won’t do that.”

Allan had been under pressure for months following controversy surrounding alleged union corruption linked to the state’s Big Build project, as well as a series of firebombings, arson attacks and stabbings.

Despite her resignation, she defended her record in office.

“I leave immensely proud of what we have achieved these past three years. I inherited a rising crime rate,” she said.

“My team and I toughened bail laws, started adult time, introduced the violence reduction unit, crime is now falling for the first time since COVID,” she added, also claiming she had turned an inherited budget deficit into a surplus.

Allan also reflected on becoming Victoria’s second female premier and said she had been ready to contest the November election.

“I would have absolutely relished the fight this November. I was more than ready,” she said.

“I saw off two Liberal leaders. Now, I expect my successor will see off the third,” Allan said. She also warned that One Nation could overtake the Liberal Party and described the prospect of the two parties working together as a “distinctly dangerous” possibility.

Deputy Premier and Education Minister Ben Carroll has since been announced as Victoria’s new premier and Allan’s replacement.

Before the leadership change was confirmed, Allan said she would support Carroll if he became premier.

“I will shortly chair a caucus meeting to elect a new leader. Should Ben Carroll emerge as our next Labor leader and Labor Premier, he will have my congratulations and unqualified support,” Allan said, just hours before the confirmation that Carroll was replacing her.

Transport Minister Gabrielle Williams was selected as Victoria’s new Deputy Premier.

Carroll previously defended Allan’s service in parliament, saying she deserved respect after 27 years in politics.

“Jacinta’s served 27 years in the parliament, and she deserves that respect,” he said.

Allan declined to confirm whether she would recontest her seat of Bendigo East at the November state election.

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