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  courtesy of the daily mail
  
  A Labour source told a Sunday newspaper: 'Lib Dems are waking up to the fact that Nick Clegg has led them to the edge of the abyss in terms of the next election. They could be looking at a dramatic reduction in their MPs.
  
  'These talks are designed to find common ground so that, if the next election result is inconclusive, we could enter a progressive coalition with them.'
  
  Last week Mr Cable cast doubt on the Coalition lasting a full term.
  
  His spokesman confirmed he had held phone calls with the Labour leader.
  
  'Vince Cable has met Ed Miliband twice since he became leader two years ago and has had a handful of phone conversations, when they discussed banking reforms amongst other things,' she said last night.
  
  'Vince told Nick Clegg about this and he was very relaxed. Liberal Democrats believe in the tradition of plurality and many of our MPs have conversations with politicians across the political spectrum.

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