The faction formerly led by William Pitt the Younger, before his death in January 1806, were the major group in opposition to the Talents' Ministry.
Grenville and his cabinet lost the support of King George III by trying to legislate to permit Roman Catholics to serve as Army and Navy officers.
When ministers refused to give the King written confirmation that they would not raise the Catholic issue again, he decided to find new servants.
This was an important stage in the development of a more organised two-party system, which reduced the influence of factions and connections in British politics.
The government policies of opposing Catholic relief and supporting the traditional powers of the King proved popular (at least with the restricted section of the population enfranchised in elections for the unreformed House of Commons).