The Dutch government information service says that Prime Minister Mark Rutte and his Cabinet have resigned after failing to reach agreement on reducing the country's budget to meet European guidelines.

The information service said Monday that Rutte had met with Queen Beatrix and she had accepted his resignation, asking him to tend to pressing matters of state with a caretaker government for the time being.

Rutte is due to address parliament Tuesday afternoon to discuss interim budget cuts and schedule new elections.


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