On 5 January 1921 the Christian Democratic Party (KDP) joined Konstantin Päts' Farmers' Assemblies-led the government, and was given the Education ministry portfolio. The following year the KDP caused a split in the government by introducing a bill to provide religious education in state schools, funded by the state. Although the proposal was rejected by the Riigikogu, the party forced a referendum on the issue in early 1923.
As the referendum was a rejection of government policy, this was considered to be a vote of no confidence on the rest of the government. The Riigikogu was subsequently dissolved and fresh elections called.