French President Francois Hollande has ordered PM Manuel Valls to form a new government after two senior ministers criticised their austerity policies.
After Mr Valls announced the cabinet’s resignation, Mr Hollande immediately asked him to set up a new one.
Economy minister Arnaud Montebourg and education minister Benoit Hamon are expected to lose their jobs.
They had both called for France to tackle low growth by resisting fiscal discipline imposed by Germany.
Offering his and the government’s resignation, the prime minister said Mr Montebourg, a left-wing MP, had crossed “a yellow line”.
Moments later, the president issued a statement asking him to set up a new government “consistent with the direction [Mr Hollande] has set for the country”.
A French presidential source said Mr Valls’s decision had been a matter of “absolute consensus” between President Hollande and the prime minister.