"Talk of the Town" has generally received positive reception, often being singled out as a highlight from Pretenders II. Tom Carson of Rolling Stone lauded the song, writing, "What's so wonderful about 'Talk of the Town,' for example, is how beautifully she grasps the rapturousness of success: she's the girl who got left behind, but she's also the boy who's changed his place in the world, and we understand them both". Matthew Greenwald of Allmusic said, "Between the breezy melody and literate, confessional lyrics, this song is head and shoulders above what passed for a pop single at the beginning of the '80s, and remains a classic of Hynde's." Sean Murphy of Pop Matters said that the song, along with fellow Pretenders II singles "Message of Love" and "Day After Day", "richly deserve their rotation on less imaginative DJ's play lists". Greg Kot of the Chicago Tribune called it a "fine single" while Dennis Lim of Blender praised it as "tender". Ultimate Classic Rock critic Matt Wardlaw rated it the Pretenders 5th greatest song."
