26 June 2012 Last updated at 11:25 ET
Nick Clegg had expressed conerns about Mr Gove's announcement last week
Education Secretary Michael Gove has hinted he may not introduce a new CSE-type exam alongside the expected return of O-levels.
In a speech, Mr Gove said that he expected every child to have the opportunity to take the tougher exam.
Aides added he wanted "no separation of sheep and goats" and suggested slower learners could simply take the O-level later in their school lives.
They denied this was a "watering-down" of his proposals announced last week.
On Thursday, Deputy Prime Minister Nick Clegg came out against plans, outlined by Mr Gove, which would revert to a system of O-levels and CSEs, replaced by over-arching GCSEs during the 1980s.
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