THE Coalition Government showed every sign of being one of the 'great liberal and reforming governments of our times', a leading Liberal Democrat told party members in Lifton last week.

North Devon MP and Minister of State for the Armed Forces Nick Harvey said the Government faced 'an enormous challenge' from the need to clear up 'the mess left by the last Labour Government', and it was tackling it on the 'basis of fairness'.

He said: 'There is no doubt that the coming measures will be painful, and, obviously, Liberal Democrats regret this. But this is the situation we inherited from Labour.

'My prediction is that at the end of four years, the cuts will prove to be no worse than those that Labour said that they would have to introduce themselves — just that they failed to spell out what they would be. The difference of having Lib Dems in the Government is that the cuts will be fairer.'

Mr Harvey said the Government programme, showed signs of Lib Dem influence 'all over the place'. Who would have thought you would turn on the radio and hear a Secretary for Justice saying that we ought to find better alternatives to short-term prison sentences? They don't work and they are very costly, he said. And this as a Conservative Minister!

'And we have already taken 800,000 people with the lowest incomes out of paying income tax. The Government needs to give due weight to the criticism from the Institute of Fiscal Studies, and accelerate this programme.'

Sometimes, Liberal democrat MPs had to grit their teeth as they went through the lobbies in Parliament. 'This is the nature of coalition politics. This was the case with Mr Gove's Bill for academies and free schools. In practice, there does not seem to be much demand for this type of institution in North Devon, nor here in Torridge and West Devon.

'Far more relevant for local schools will be the introduction of the Lib Dem policy of pupil premiums. For decades, schools in North Devon and here in West Devon have suffered from unfair funding schemes devised by Central Government. Now, money is to be steered towards pupils with the greatest needs, even if they do live in a pleasant but relatively poor part of the country.'

He said proposals for reforming the benefit system were not a 'whacky right-wing programme dreamed up by Ian Duncan Smith', but had serious input from Liberal Democrat Minister Steve Webb and from Labour MP Frank Field. 'It is aimed at putting an end to the poverty trap, so that people are not penalised by loss of benefits if they are working and earning. I find their proposals very persuasive.'

Mr Harvey said the first five months of the government had gone better and been much easier than he ever thought possible. 'If we continue to take one step at a time, hold our nerve and stick to our values and causes, our achievement will be recognised by the electorate at the end of five years.'