Boris Johnson is quitting as Tory leader after ministers and MPs - including new chancellor Nadhim Zahawi - made clear his position was untenable.
Mr Johnson looks set to stay as Prime Minister until a successor is in place, expected to be by the time of the Conservative Party conference in October.
At 9.23am the pound was trading higher on the news of Boris Johnson鈥檚 resignation 鈥 up 0.6% at 1.198 US dollars and 0.4% stronger at 1.174 euros.
A No 10 source said Mr Johnson spoke to Sir Graham Brady, chairman of the Conservative 1922 Committee, to inform him of his decision.
鈥淭he Prime Minister has spoken to Graham Brady and agreed to stand down in time for a new leader to be in place by the conference in October,鈥 a No 10 source said.
Earlier today, the new Education Secretary Michelle Donelan resigned, while the new Chancellor Nadhim Zahawi told Johnson: 鈥淵ou must do the right thing and go now.鈥
Other resignations included:
James Cartlidge quit as courts鈥 minister, telling Johnson: 鈥淭he position is clearly untenable.鈥
Technology minister Chris Philp resigned, saying the 鈥淧M should step down given public and Parliamentary confidence has clearly gone, and given the importance of integrity in public life鈥.
Pensions minister Guy Opperman resigned, telling Johnson 鈥渞ecent events have shown clearly that the government simply cannot function with you in charge鈥.
Security minister Damian Hinds resigned, saying: 鈥淚t shouldn鈥檛 take the resignation of dozens of colleagues, but for our country, and trust in our democracy, we must have a change of leadership.鈥
Treasury minister Helen Whately resigned, telling Johnson there 鈥渁re only so many times you can apologise and move on鈥.
Northern Ireland Secretary Brandon Lewis resigned from the Cabinet, telling the Prime Minister that government requires 鈥渉onesty, integrity and mutual respect鈥.
Earlier, chancellor Nadhim Zahawi - who was only appointed on Thursday - said Boris Johnson should 鈥渓eave with dignity鈥 and 鈥済o now鈥.
Mr Zahawi said he had made clear privately to Mr Johnson that he should go but 鈥淚 am heartbroken that he hasn鈥檛 listened and that he is now undermining the incredible achievements of this Government at this late hour鈥.
The Chancellor鈥檚 extraordinary statement said the country 鈥渄eserves a Government that is not only stable, but which acts with integrity鈥.
