In 1877 Kappeneye was "formateur" of a liberal cabinet. Kappeyne became Ministers of the Interior and gave up his seat in parliament. He was appointed chairperson of the council of ministers, an office equivalent to today's Prime Minister of the Netherlands, formally temporarily, but he was the political leader of the cabinet. As minister he enacted important laws, such as a new law on primary education. This law put higher demands on the quality of school buildings and the wages and education of teachers. This raised the financial burdens of primary schools, but only public schools received state subsidies. This effectively eliminated religious schools which, without subsidies, were unable to sustain the financial burdens. This led to staunch opposition as part of the school struggle from Anti-Revolutionary and Catholic members of parliament, and a citizens' petition. Kappeyene however did not change his mind.