I heard a short speech last night by one of the new Lib Dem MPs, Jeremy Browne, at a meeting of the most important British think tank, Reform. I've rarely heard a more eloquent, thoughtful, self-critical and persuasive argument in favour of public sector reform. I was hugely impressed by Mr Browne. Mark my words: his is a name which we will be hearing frequently over the next few years.

There is a great prize to be had in British politics for the party which can truly grasp the mantle of public sector reform. Labour's credentials lessen by the day. The Tories, if only they could see sense, ought to be the natural home of such ideas. And the Lib Dems, if they could only dump their penchant for statist left wingery and return to being a genuinely liberal party, could reap the benefits of the other two parties' failures. With the likes of Mr Browne, along with Orange Book types such as David Laws, there is a growing coterie of classical liberals. But I am dubious about their ability to triumph over the morass of LibDems.

(I am currently writing a pamphlet on a related theme for the Centre for Policy Studies. It'll be out in August.)