David Cameron attempts to woo Liberals by promising discussions on electoral reform
David Cameron has entered into talks with the Liberal Democrats about forming a coalition government.
The Conservatives have fallen short of the 326 seats required to gain an overall majority, and are hopeful Liberal support will ensure David Cameron replaces Gordon Brown at Number 10.
Cameron said that the Conservatives could work with the Liberal Democrats and was willing to make them what he called a "big open and comprehensive offer".
He stopped short of offering Liberal Democrats a referendum on electoral forum but said he would create an "all party committee of inquiry on political and electoral reform".
Cameron said: "I think we have a strong basis for a strong government. Inevitably the negotiations we're about to start will involve compromise. That is what working together in the national interest means."
The Tory leader also re-iterated his desire for swift spending cuts to regain the confidence of international markets.
Former prime minister John Major backed Cameron's proposal. "The price of having one or two liberals in the cabinet is worth paying," he told the BBC.
The FTSE dropped by 4.3% on the continuing uncertainty over the next government and likely policies.
To see what a Conservative-Liberal Democrat coalition might mean for construction read Graham Kean's blog and the transcript from our Election debate held earlier today
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