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"I had a long chat with Mike. The financial circumstances of the club mean we can't bring any new players in to improve the team. I felt we needed to do that to make progress so it's a very disappointing ending from a personal point of view."
Vics won their first match of the campaign against Winsford United on Tuesday, running in four goals against their near neighbours. Warhurst felt he could turn things around, but changed his mind the following day.
"The club needed shaking up after a poor start to the season. But obviously the financial situation is such that Mike felt he couldn't do that."
Dino Maamria will be in charge of the team for Saturday's Blue Square Premier clash with Woking. He becomes Vics' third manager of a troubled campaign, which has yielded a single point after 11 matches.
Warhurst's spell at Carlisle was an extremely short one, ex-United boss Paul Simpson signing him on the 20th February 2004, only for Warhurst to disappear after playing just one game at Macclesfield Town as he complained of the travelling time to get to Cumbria.
That despite his comments when he was signed :
"I've known the Carlisle manager Paul Simpson since we were at Manchester City together. He's asked me to come up and help the club out and I'm looking forward to playing as many games as I can between now and the end of the season."