In June of the same year, the then incumbent Prime Minister, Mário Soares, resigned from the job due to the lack of parliamentary support, the government was composed by a coalition of the two major parties, the center-right Social Democratic and the center-left Socialist, in what was called the Central Bloc, however this was an unstable balance of forces and several members of each party opposed such alliance.

A new election was called by the President and the Social Democrats won with a short majority and Cavaco became the Prime-Minister.

The Communists and the Socialists lost votes and MPs, and the left would only return to the government ten years later, in 1995.

The unpopularity of the Central Bloc government was creating deep rifts between PS and PSD and also within both parties, as growing poverty, budget cuts and unemployment, due to the International Monetary Fund bailout policies, were leading to massive protests.

In February 1985, Carlos Mota Pinto resigned from the PSD leadership and planned to contest the next party congress.

On 3 April 1987, the motion passes by a 134 to 108 vote and the government falls:[25] Mário Soares was in an official trip to Brazil when he was informed, which unpleased the President, and he then returned to Lisbon to meet with parties.