The Liberal Democrat Party formally ratified the coalition deal with the Conservatives early today.
The Lib Dem British parliamentary party and the party’s federal executive endorsed the agreement by the required three-quarters majority, a party spokesman said.
The deal was agreed at a late-night meeting at Westminster, a few hundred yards from the Houses of Parliament.
Sources said the deal was approved unanimously by the party's MPs and opposed by only one - unnamed - member of the federal executive.