On Wednesday night Ld. Grey arrived in town; he came here in evening, appointed on the ensuing day to go to Carlton House. Prince very gracious, cordial, and more communicative than with Ld. Grenville. Upon mention of additional strength in House of Commons, Grey remonstrated upon the fallacy of strength being obtained by the accession alluded to (Canning), where sturdy old friends would be lost entirely. Prince observed the clamour excited by Grenville’s resistance as Auditor to the issuing money from the Exchequer, conceived it fatal to his being attached to the Treasury; folly of his letter to Perceval. They separated most amicably. Ld. Grey went directly to frame a reply for P. to the deputation which was next day to offer, from the two Houses, the Regency. Informed the Prince, if their paper did not meet his wishes, that he dined at Ld. Holland’s in Pall Mall, where he should remain to receive H.R.H. commands. We had only Ld. Thanet and Tierney, Ld. H. confined by the gout. At twelve at night, Adam, accompanied by Sheridan, came from C. H., bearing a message from the P., which in plain language was a total rejection of the paper drawn up by Lds. Grey and Grenville, and sending them another, the joint composition of himself and S. Ld. Grey with great moderation and temper declined giving any opinion upon the subject, his own being rejected; said they could not be responsible for sentiments they had not written. Sheridan, who had thrust himself into the whole transaction, protested against their responsibility, alleging that the Prince was not himself in a condition to invest persons with responsibility, that he had drawn a paper, and Ld. Moira had done the same. After Ld. Grey went away, such a scene of duplicity and jealousy was exhibited by S. beyond all belief or description; it required all Adam’s forbearance and good temper to prevent great asperity in the discussion. Ld. H. contended for the responsibility, considering the sending for these Lords as an open act similar to that of a King upon his accession employing a certain set of persons to answer the address from the Privy Council, as his future Ministers.