The pop sensation’s father, Jamie Spears, has been her legal guardian since 2008.
Britney lost legal control of her estate and other decisions about her life when she suffered poor mental health.
At the time, a US court agreed to give her father control over her estate, as well as her career and her as a person.
However, the singer has since accused her father of “conservatorship abuse,” claiming she had been drugged, forced to perform and prevented from having any more children.
Spears is a mother of two boys, Sean and Jayden Federline.
Jamie’s lawyers claimed there was no reason for him to step back, other than "the unremitting target of unjustified attacks,” which have ensued since the ‘Framing Britney Spears’ documentary aired in 2021.
He has denied taking advantage of the court agreement and has stated he has real concerns over his daughter’s wellbeing.
The media and activists have since launched the #FreeBirtney campaign, which has attracted worldwide attention and fans have called for her to regain autonomy over her life and career.
In 2019, Jamie gave up his role as personal conservator but continued to control her estate. The singer filed a petition in July, to remove him as her legal guardian. She had refused to perform ever again, unless the conservatorship was lifted.
Responding to that request, Mr Spears' lawyer said on Thursday in a court document there were "no actual grounds" for him to step back, but he had become subject to unfair public trolling.
US media has claimed that this is not a decision which comes into effect immediately, and there is no date set for when Britney will reclaim rights over her estate.
A hearing for the petition to remove him is still set for 29 September.
Britney’s lawyer , Mathew Rosengart, said in a statement: "This is a major victory for Britney Spears and another step toward justice."
He added that Jamie’s resignation was "vindication for Britney. We are disappointed, however, by their ongoing shameful and reprehensible attacks on Ms Spears and others".
Mr Rosengart added that an investigation into the actions of those involved in managing her estate throughout the conservatorship would continue.