Czech Prime Minister Petr Necas resigned Monday over a bribery and spying scandal which has thrown the recession hit European nation into a political crisis.
Necas, who has been in office for just three years, will stay on as a caretaker leader until a new government is announced.
Czech President Milos Zeman will hold talks with representatives from all political parties beginning Friday.
Necas has been under pressure to quit since last week's police raids that resulted in the arrests of eight people, including his closest aide, Jana Nagyova. She was charged with ordering a military intelligence agency to spy on three people, including Necas' estranged wife.
Seven other senior figures, including the current and former heads of the military intelligence agency and three former lawmakers of his party, were charged with bribery or misuse of power. All have denied wrong-doing.
Necas has rejected all the accusations against Nagyova and the others. Announcing his resignation on Sunday evening, he said, "I am aware of my political responsibility."
His decision will end his three-party coalition government, which was created after the 2010 parliamentary election.